The aim of this paper is to explore the relationship between wages, human capital and investment in financial assets with risky returns at the individual level. To explore this relationship from an international perspective, we analyse individual level data from the British Household Panel...

We contribute to the literature on household mortgage debt by exploring one particular influence on mortgage debt at the household level, namely the financial expectations of the individuals within the household. Our theoretical model predicts a positive association between the quantity of...

In this article we show that optimistic financial expectations impact positively on both the quantity of debt and the growth in debt at the individual and household levels. Our theoretical model shows that this association is predicted under a variety of plausible scenarios. In the empirical...