Recently, the influence of income and wealth distribution on aggregate savings receives considerable attention. While most studies have focused on measured income distributions, we emphasize the critical role of individuals' subjective perceptions in economic decision-making. Our results largely...

We examine recently compiled microdata from the OECD/INFE survey covering information on the financial literacy of adult individuals from twelve countries around the globe. We find large differences in financial literacy across countries and decompose them into those explainable by differences...