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future events on households’ financial situation. Households are asked to assess specific risks for their own household … (treatment) or for a household with similar characteristics (control). On average, households assign a lower probability to … shocks that negatively affect personal finances if asked for their own household compared to a similar household. We do not …
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We employ recent Survey of Consumer Finances (SCF) microdata from the US to analyze the impacts of confidence in one's own financial knowledge, confidence in the economy, and objective financial literacy on investment in risky financial assets (equity and bonds) on both the extensive and...
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