Grohmann, Antonia; Menkhoff, Lukas; Merkle, Christoph; … - 2023
show suggestive evidence for a link between overconfidence and borrowing behavior in a representative survey of German …, participants can purchase goods by borrowing against their future income. We exogenously manipulate overconfidence about income … experiment, which has real financial consequences. In a robustness experiment, we rule out that over-borrowing is driven by low …