Abstract This article examines the accumulation of precautionary wealth in Afghanistan using detailed data from a large household survey. A percent increase income variance is associated with 0.22 and 0.84% broad narrow wealth, respectively. response most pronounced at extremes distribution. Wealthy households rely exclusively on livestock, while less affluent use jewelry for self-insurance. Co...

The trend of the flexing phenomenon, especially on social media, is currently causing various reactions, one which tendency to consume and use luxury facilities. In consumer behavior, this phenomenon referred as Conspicuous Consumption. today's modern world, it happens not only upper-class consumers, but also everyone in community with goals, including goals acquiring status, prestige, or wealt...

Abstract We use the U.S. Department of Housing and Urban Development’s Choice Voucher program as a setting to evaluate interaction homeownership race on wealth accumulation low-income households. Using within-treatment difference-in-differences framework, we establish that households receive assistance in owning home experience increased relative their tenure renters. These gains are not presen...

the main logic behind the demand for life insurance is to hedge against the labor income uncertainty due to premature death of a wage earner. in other words, life insurance is the device by which this labor income uncertainty is handled. for insurers, the uncertainty arises from the lack of knowledge about the age of death of the wage earner. this paper attempts to derive life insurance demand ...

I present an explicitly solved equilibrium model for the distribution of wealth and income in an incomplete-markets economy. I first propose a self-insurance model with an inter-temporally dependent preference [Uzawa, H. 1968. Time preference, the consumption function, and optimal asset holdings. In: Wolfe, J.N. (Ed.), Value, Capital, and Growth: Papers in Honour of Sir John Hicks. Edinburgh Un...

I show that if the capital accumulation dynamics is stochastic a new term, in addition to that given by accounting prices, has to be introduced in order to derive a correct estimate of the genuine wealth of an economy. In a simple model with multiplicative accumulation dynamics I show that: 1) the value function is always a decreasing function of volatility 2) the accounting prices are affected...