The equity premium puzzle, first documented by Mehra and Prescott, refers to the empirical fact that stocks have greatly outperformed bonds over the last century. As Mehra and Prescott point out, it appears difficult to explain the magnitude of the equity premium within the usual economics...

The equity premium puzzle, first documented by Mehra and Prescott, refers to the empirical fact that stocks have greatly outperformed bonds over the last century. As Mehra and Prescott point out, it appears difficult to explain the magnitude of the equity premium within the usual economics...

Many companies and policymakers would like to reduce retirement savings gaps between ethnicities, gender, and income bands. Choice architecture, such as automatic enrollment, is one tool to help reduce such gaps. Yet not all employers want automatic features. This raises the question whether...