Home > Events & News > Brown Bag Schedule . Archive

PSC In The News

RSS Feed icon

Owen-Smith says universities must demonstrate value of higher education

Armstrong says USC's removal of questions from a required Title IX training module may reflect student-administration relations

Fomby finds living with step- or half-siblings linked to higher aggression among 5 year olds

Highlights

PRB training program in policy communication for pre-docs. Application deadline, 2.28.2016

Call for proposals: PSID small grants for research on life course impacts on later life wellbeing

PSC News, fall 2015 now available

Barbara Anderson appointed chair of Census Scientific Advisory Committee

Next Brown Bag

Monday, Feb 1 at noon, 6050 ISR-Thompson
Sarah Miller

psc brown bag iconCognitive Economics and Human Capital

Bob Willis (Population Studies Center, Survey Research Center)

10/20/2008, at noon in room 6050 ISR-Thompson.

Traditional economic models assume that individuals have full information and act perfectly rationally. However, we show that there is considerable variation in financial literacy in the population and propose modeling the acquisition of financial knowledge in a human capital
production framework. The model makes several predictions, notably with respect to portfolio choice. For example, it helps explain household non-participation in the stock market for some fraction of the population, and it provides guidance about the share of risky assets to hold for other types of households. Estimation of the human capital production function for financial knowledge on data from the Cognitive Economics Survey yields results that are consistent with important features of the model.


  View All