In the United States, many employees can save for retirement by participating in Defined Contribution Plans (DCPs). We propose a tractable framework for calculating the employee’s subjective value of the participation option. The framework allows us to separate multiple benefits of...

In the United States, many employees can save for retirement by participating in Defined Contribution Plans (DCPs). We propose a tractable framework for calculating the employee’s subjective value of the participation option. The framework allows us to separate multiple benefits of...