Tax practitioners should identify clients with HARP and HAMP mortgage modifications since 2007 to determine if they have capitalized interest included in the principal of the new loan. This capitalized interest remains fully deductible when it is eventually paid but it is typically not being...

We build a nationally representative sample of retirement savers in Sweden to study how asymmetric updating of beliefs about climate change affects investment decisions. After the intense heat wave of 2018, respondents in regions dominated by a right-wing, anti-climate party grow less concerned...

We elicit consumer perceptions about the interest rate associated with credit-card borrowing. Combining bank account data and surveys, we find that consumers have very noisy perceptions about the true interest costs associated with credit card debt. Total borrowing decreases with perceived...

Early distributions from retirement accounts could endanger future retirement income security, and the U.S. has restrictions to discourage them, including possible tax penalties. On the other hand, tapping one's retirement assets may be rational when an individual encounters financial hardship....