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Author: Wu, Stephen
Resulting in 3 citations.
1. Shapiro, Joel D.
Wu, Stephen
Fatalism and Savings
Working Paper Series, Social Science Research Network (SSRN), July 23, 2010. Available at SSRN: http://ssrn.com/abstract=1673906
Cohort(s): NLSY79
Publisher: Social Science Electronic Publishing, Inc.
Keyword(s): Control; Risk Perception; Savings

Permission to reprint the abstract has not been received from the publisher.

We examine the impact of fatalism, the belief that one has little or no control over future events, on the decision of whether or not to save. We develop a model that predicts that fatalism decreases savings for moderately risk averse individuals, increases savings for highly risk averse individuals, and otherwise has no impact. Furthermore, fatalism decreases effort in learning about savings and investment options. We use data from National Longitudinal Survey of Youth (NLSY) and find general support for the theoretical predictions of the model. The results are robust to the inclusion of a number of additional control variables.
Bibliography Citation
Shapiro, Joel D. and Stephen Wu. "Fatalism and Savings." Working Paper Series, Social Science Research Network (SSRN), July 23, 2010. Available at SSRN: http://ssrn.com/abstract=1673906.
2. Shapiro, Joel D.
Wu, Stephen
Fatalism and Savings
Journal of Socio-Economics 40,5 (October 2011): 645-651.
Also: http://www.sciencedirect.com/science/article/pii/S1053535711000643
Cohort(s): NLSY79
Publisher: Elsevier
Keyword(s): Locus of Control (see Rotter Scale); Risk-Taking; Rotter Scale (see Locus of Control); Savings; Well-Being

An individual’s decision about how much to save depends on her perception of how current savings affects future well-being. Fatalistic individuals believe that they have little or no control over future outcomes. We develop a theoretical model linking fatalism to savings and test the predictions using data from the National Longitudinal Survey of Youth (NLSY). The model predicts that fatalism decreases savings for moderately risk averse individuals, but actually increases savings for highly risk averse individuals. Furthermore, fatalism decreases effort in learning about savings and investment options. The empirical results support the theoretical predictions of the model and are robust to the inclusion of a number of additional control variables.
Bibliography Citation
Shapiro, Joel D. and Stephen Wu. "Fatalism and Savings." Journal of Socio-Economics 40,5 (October 2011): 645-651.
3. Wu, Stephen
Shapiro, Joel D.
Fatalism and Savings
MPRA Paper No. 24852, Munich Personal RePEc Archive, July 2010.
Also: http://mpra.ub.uni-muenchen.de/24852/1/MPRA_paper_24852.pdf
Cohort(s): NLSY79
Publisher: Munich Personal RePEc Archive (MPRA)
Keyword(s): Pearlin Mastery Scale; Retirement; Risk Perception; Risk-Taking; Savings

Permission to reprint the abstract has not been received from the publisher.

An individual's decision about how much to save depends on her perception of how current savings affects future well-being. Fatalistic individuals believe that they have little or no control over future outcomes. We develop a theoretical model linking fatalism to savings and test the predictions using data from the National Longitudinal Survey of Youth (NLSY). The model predicts that fatalism decreases savings for moderately risk averse individuals, but actually increases savings for highly risk averse individuals. Furthermore, fatalism decreases effort in learning about savings and investment options. The empirical results support the theoretical predictions of the model and are robust to the inclusion of a number of additional control variables.
Bibliography Citation
Wu, Stephen and Joel D. Shapiro. "Fatalism and Savings." MPRA Paper No. 24852, Munich Personal RePEc Archive, July 2010.