This dissertation presents four independent papers that advance experimental methods and test theories on saving using experimentally elicited characteristics. The first two papers test two behavioral theories on precautionary saving based on the characteristics loss aversion and prudence by...

Some consumption opportunities, e.g. medical treatments, are both indivisible and only valuable in particular states of nature. The existence of such state-dependent indivisible consumption opportunities influences a person's risk attitudes. In general, people are not risk averse anymore even if...

This paper reports evidence from a field experiment investigating households' electricity saving behavior. We motivated households' efforts to save electricity via pro-environmental incentives that did not affect people's monetary utility but targeted their environmental preferences. The results...

We analyze the impact of risk and ambiguity aversion using a lifecycle recursive utility model. Both risk and ambiguity aversion are shown to reduce annuity demand and enhance bond holdings. We obtain this result using an intertemporal framework in which we can vary both risk and ambiguity...