Arbeitspapier
Positive illusions and the temptation to borrow
We provide an explanation of the low willingness to save that is observed in many poor countries. Our explanation is based on the hypothesis that people have an over-optimistic outlook. As discussed in the psychological literature, an illusionary positive view of the future may be a good thing. However, we show that it can lead individuals to accumulate unsustainable levels of debt. Using survey data from South Africa, we confirm that poor people are indeed overly optimistic, and also that optimism is positively and significantly related to debt accumulation.
- Sprache
-
Englisch
- Erschienen in
-
Series: Memorandum ; No. 07/2017
- Klassifikation
-
Wirtschaft
Household Saving; Personal Finance
Microeconomic Analyses of Economic Development
- Thema
-
poverty
savings
discounting
debt
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Kløve, Eva
Mehlum, Halvor
- Ereignis
-
Veröffentlichung
- (wer)
-
University of Oslo, Department of Economics
- (wo)
-
Oslo
- (wann)
-
2017
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:42 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Kløve, Eva
- Mehlum, Halvor
- University of Oslo, Department of Economics
Entstanden
- 2017
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