Risk may induce precautionary saving but it can also reduce saving. The theoretical literature recognizes both …

sentiment data from the European Commission's consumer survey, this paper provides evidence that aggregate saving intentions are …

finding is particularly significant among unconstrained households and supported by models with precautionary saving only if … generates saving dynamics such that the stationary distribution of wealth among households facing different risk levels is not …

We analyze the saving motives of European households using micro-data from the Household Finance and Consumption Survey … (HFCS), which is conducted by the European Central Bank. We find that the rank ordering of saving motives differs greatly … saving motive of European households when the proportion of households saving for each motive is used as the criterion to …

This paper empirically examines the behavioral precautionary saving hypothesis by Koszegi and Rabin (2009) stating that … uncertainty about future income triggers saving because of loss aversion. We extend their theoretical analysis to also consider …), but contrarily to common assumptions, our findings establish that loss aversion is not necessarily an obstacle to saving …

This paper empirically examines the behavioral precautionary saving hypothesis that uncertainty about future income … triggers an increase in saving because of loss aversion. Guided by the theoretical model of Koszegi and Rabin (2009), we first … contrast to common assumptions, our findings establish that loss aversion is not necessarily an obstacle to saving, and thus …