MARC Record from Library of Congress

LEADER: 02267cam a22002897a 4500
001 2008610770
003 DLC
005 20080814092116.0
007 cr |||||||||||
008 080625s2008 mau sb 000 0 eng
010 $a 2008610770
040 $aDLC$cDLC
050 00 $aHB1
100 1 $aGiavazzi, Francesco.
245 10 $aPolicy uncertainty and precautionary savings$h[electronic resource] /$cFrancesco Giavazzi, Michael McMahon.
260 $aCambridge, MA :$bNational Bureau of Economic Research,$cc2008.
490 1 $aNBER working paper series ;$vworking paper 13911
538 $aSystem requirements: Adobe Acrobat Reader.
538 $aMode of access: World Wide Web.
500 $aTitle from PDF file as viewed on 6/25/2008.
530 $aAlso available in print.
504 $aIncludes bibliographical references.
520 3 $a"In 1997 Chancellor Kohl proposed a major pension reform and pushed the law through Parliament explaining that the German PAYG system had become unsustainable. One limitation of the new law -- one that is crucial for our identification strategy -- is that it left the generous pension entitlements of civil servants intact. The year after, in 1998, Kohl lost the elections and was replaced by Gerhard Shroeder. One of the first decisions of the new Chancellor was to revoke the 1997 pension reform. We use the quasi-experiment of the adoption and subsequent revocation of the pension reform to study how households reacted to the increase in uncertainty about the future path of income that such an event produced. Our estimates are obtained from a diff-in-diff estimator: this helps us overcome the identification problem that often affects measures of precautionary saving. Departing from the majority of studies on precautionary saving we also analyze households' response in terms of labor market choices: we find evidence of a labor supply response by those workers who can use the margin offered by part-time employment"--National Bureau of Economic Research web site.
700 1 $aMcMahon, Michael.
710 2 $aNational Bureau of Economic Research.
830 0 $aWorking paper series (National Bureau of Economic Research : Online) ;$vworking paper no. 13911.
856 40 $uhttp://papers.nber.org/papers/w13911