[eng] Precautionary saving : a geometric analysis. . In this paper, we develop a geometrical and simple interpretation of precautionary saving. This approach enables us to explain intuitively why risk aversion alone is not sufficient to give rise to precautionary saving. [fre] L'épargne de...

In this paper, we examine how precautionary saving reacts to increases in future income risks when the return on savings itself is random. We show that results obtained with a sure rate of return on assets carry over to the uncertainty case under a set of not too restrictive assumptions. Dans ce...