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Household portfolios and risk bearing over age and time
Next_event
Date: 12:30 18 June 2012 - 13:40 18 June 2012
Type: IFS Seminar
Venue: Institute for Fiscal Studies  [see map]
Price: members: Free; nonmembers: Free
We exploit the US Survey of Consumer Finances from 1998 to 2007 to study households' portfolio risk bearing. We compare alternative measures of risk, based on a financial portfolio or based on a broader portfolio also including human capital, real estate, business wealth and related debt. The measures provide a different ranking of household risk bearing, but they consistently show that risk bearing fell in the 2000s, and it positively correlates with wealth, good health status and financial sophistication. The alternative risk measures give origin to different shapes of the the risk-age profiles.
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