1 option
Capital Accumulation and Annuities in an Adverse Selection Economy / Martin S. Eichenbaum, Dan S. Peled.
- Format:
- Book
- Author/Creator:
- Eichenbaum, Martin S.
- Series:
- Working Paper Series (National Bureau of Economic Research) no. w2046.
- NBER working paper series no. w2046
- Language:
- English
- Physical Description:
- 1 online resource: illustrations (black and white);
- Place of Publication:
- Cambridge, Mass. National Bureau of Economic Research 1986.
- Summary:
- This paper suggests that adverse selection problems in competitive annuity markets can generate quantity constrained equilibria in which some agents whose length of lifetime is uncertain find it advantageous to accumulate capital privately. This occurs despite the higher rates of return on annuities. The welfare properties of these allocations are analyzed. It is shown that the level of capital accumulation is excessive in a Paretian sense. Policies which eliminate this inefficiency are discussed.
- Notes:
- Print version record
- October 1986.
The Penn Libraries is committed to describing library materials using current, accurate, and responsible language. If you discover outdated or inaccurate language, please fill out this feedback form to report it and suggest alternative language.