Article
Refine
Year of publication
Document Type
- Article (195) (remove)
Has Fulltext
- yes (195)
Is part of the Bibliography
- no (195)
Keywords
- Machine learning (4)
- Retirement (4)
- Artificial intelligence (3)
- Household finance (3)
- Ordoliberalism (3)
- Walter Eucken (3)
- machine learning (3)
- 401(k) plan (2)
- Aesthetics (2)
- Annuity (2)
- Diseases (2)
- European Central Bank (2)
- Financial advice (2)
- GDPR (2)
- Geldpolitik (2)
- Health care (2)
- Language Critique (2)
- Life cycle saving (2)
- Life insurance (2)
- Medical research (2)
- Pathogenesis (2)
- Privacy (2)
- Product Design (2)
- aesthetic liking (2)
- consumer behavior (2)
- decision making (2)
- diversity (2)
- interest (2)
- language communities (2)
- pleasure (2)
- prediction (2)
- pricing (2)
- privacy concerns (2)
- processing fluency (2)
- processing style (2)
- (E-) Recruiting (1)
- (mobile) Internet (1)
- AI fairness (1)
- APCO (1)
- Academic faculties (1)
- Adam Smith (1)
- Adoption (1)
- Advertisement disclosure (1)
- Advertising (1)
- Advertising performance (1)
- Aesthetic Liking (1)
- Agent-based modeling (1)
- Agile methods (1)
- Aging (1)
- Aging society (1)
- Agriculture (1)
- Albania (1)
- Albanija (1)
- Algorithmic fairness (1)
- Altersarmut (1)
- Alterseinkommen (1)
- Altruism (1)
- Annuities (1)
- Anonymity Services (1)
- Anreizsysteme (1)
- App (1)
- App Tracking Transparency Framework (1)
- Apple (1)
- Applied immunology (1)
- Arab spring (1)
- Assault (1)
- Asset allocation (1)
- Asset pricing (1)
- Asymmetric response (1)
- Audience Segments (1)
- Audit partner style (1)
- Augmented reality (1)
- Ausgabenprofil (1)
- Automated Feedback (1)
- Badges (1)
- Banking (1)
- Bayesian estimation (1)
- Bayesian model averaging (1)
- Behavioral Agency Model (1)
- Betriebswirtschaftslehre (1)
- Bitcoin (1)
- Blockchain (1)
- Boycotts (1)
- Brand focus (1)
- Burglary (1)
- Business subsidies (1)
- CCPA (1)
- CO2 emissions intensity (1)
- COVID-19 (1)
- COVID-19 news (1)
- Capital theory (1)
- Car Sales (1)
- Changes in labor markets (1)
- Chemical recycling (1)
- Children (1)
- China (1)
- Choice experiments (1)
- Circular economy (1)
- Coase Theorem (1)
- Cognitive lock-in (1)
- Coin tossing (1)
- Collaboration network (1)
- Collaboration types (1)
- Commercial real estate (1)
- Common Agricultural Policy (1)
- Complementary mobility services (1)
- Concordance (1)
- Constitutional Economics (1)
- Construction procurement (1)
- Consumer financial protection (1)
- Consumption (1)
- Consumption intensity (1)
- Content analysis (1)
- Core-component reuse (1)
- Correlated risk (1)
- Correlated risks (1)
- Costs (1)
- Cross-section of expected returns (1)
- Crowdfunding (1)
- Cryptocurrency (1)
- Cumulative abnormal return (1)
- Curse of dimensionality (1)
- Customer Acquisition (1)
- Customer Management (1)
- Customer Referral Programs (1)
- Customer Value (1)
- Customer focus (1)
- D49 (1)
- DSGE (1)
- DSGE model (1)
- Data loss prevention (1)
- Data protection (1)
- Data security (1)
- Datenschutz (1)
- Decision trees (1)
- Demand estimation (1)
- Derivatives (1)
- Design Evaluation (1)
- Design Strategy (1)
- Deutschland (1)
- Dienstleistungsstrategie (1)
- Digitalisierung (1)
- Digitization (1)
- Direct estimation (1)
- Discordance (1)
- Discount functions (1)
- Discourse (1)
- Discrete choice experiment (1)
- Discrete time dynamic programming (1)
- Display advertising (1)
- Distributive politics (1)
- Dual response (1)
- Dynamic Pricing (1)
- Dynamic inconsistency (1)
- Dynamic portfolio choice (1)
- Dynamic pricing (1)
- EU (1)
- EZB (1)
- Earnings call (1)
- Ecology (1)
- Economic crisis (1)
- Economics (1)
- Ecosystems (1)
- Education (1)
- Educational data mining (1)
- Effizienz (1)
- Elasticity (1)
- Electric vehicles (1)
- Emergence of Information Systems (1)
- Emerging economies (1)
- Endocrinology (1)
- Entrepreneurial Exit Intentions (1)
- Entry mode (1)
- Entwicklungspolitik (1)
- Environmental sciences (1)
- Environmental social sciences (1)
- Environmental stringency (1)
- Epstein-Zin-Weil preferences (1)
- Ethnocentrism (1)
- European Green Deal (1)
- Evaluation (1)
- Event study (1)
- Experts (1)
- Extending Discourses (1)
- Facebook (1)
- Fair AI (1)
- Fair market valuation (1)
- Feedback loop (1)
- FinTechs (1)
- Financial Harvest Exit Strategy (1)
- Financial center (1)
- Financial literacy (1)
- Financial management (1)
- Financial structure (1)
- Firm value (1)
- First-price auctions (1)
- Flash crash (1)
- Forecasting of Market Success (1)
- Foreign direct investment (1)
- Forward guidance (1)
- Forward-looking data (1)
- Frankfurt <Main> / Universität (1)
- Freiburg School of Economics (1)
- Future of work (1)
- G21 (1)
- G24 (1)
- Gamification (1)
- Gatekeeper position (1)
- Generative AI (1)
- German Agribusiness (1)
- German Neoliberalism (1)
- Goal setting (1)
- Government stimulus (1)
- Gradient-based optimization (1)
- Group shrinkage (1)
- Growth-at-Risk (1)
- Grundrechte (1)
- Grundsicherung im Alter (1)
- Guidelines (1)
- Hate crime (1)
- Health (1)
- Health occupations (1)
- Heavy and light users (1)
- Heterogeneity (1)
- Heterogeneous firms (1)
- Hierarchical B-splines (1)
- Historical cost accounting (1)
- Homo culturalis (1)
- Homo oeconomicus (1)
- Human capital (1)
- Human smuggling (1)
- Human-enhancing technologies (1)
- Hypothetical bias (1)
- IS research (1)
- IT service management (1)
- IUIPC (1)
- Illegal migration (1)
- Image Morphing (1)
- Immigrant legalization (1)
- Immigration (1)
- Immunology (1)
- Impatience (1)
- Imperfect competition (1)
- Income risk (1)
- India (1)
- Individual investor (1)
- Inducements (1)
- Infection (1)
- Infectious diseases (1)
- Inflation (1)
- Inflationsmessung (1)
- Influencer marketing (1)
- Information systems (1)
- Informational self-determination (1)
- Informationsökonomie (1)
- Initial Coin Offering (1)
- Initial public oferings (IPOs) (1)
- Innate immune cells (1)
- Innate immunity (1)
- Innovation (1)
- Insurance (1)
- Intelligence augmentation (1)
- Interest rate rule estimation (1)
- Interest rates (1)
- Internalization of externalities (1)
- International migration (1)
- Internet Users’ Information Privacy Concerns (1)
- Internet-Stellenbörse (1)
- Interval prediction (1)
- Job Creation Schemes (1)
- Joint Ownership (1)
- Joseph E. (1)
- Kantian Autonomy (1)
- Karriere-Website (1)
- Klimaschutzfond (1)
- Klimawandel (1)
- Knowledge (1)
- Labor market competition (1)
- Language (1)
- Law (1)
- Learning (1)
- Learning analytics (1)
- Legitimacy (1)
- Leverage effect (1)
- Liberty (1)
- Life-cycle model (1)
- Linkages (1)
- Liquidity (1)
- Liquidity provision (1)
- Location-based games (1)
- Longevity risk (1)
- Longitudinal data (1)
- Loyalty (1)
- Machine teaching (1)
- Macroeconomic risks (1)
- Market engineering (1)
- Market fragility (1)
- Market research (1)
- Marketing Analytics (1)
- Marketing-finance interface (1)
- Markups (1)
- Marxian economics (1)
- Matching (1)
- Maximum length of association (1)
- Mitarbeiterinteressen (1)
- Mobile games (1)
- Monetary policy (1)
- Multiple Treatment (1)
- Multiple hypothesis testing (1)
- Mutuality principle (1)
- NAV-price-spread (1)
- Narrative disclosures (1)
- Nascent ventures (1)
- Neoliberalism (1)
- New product development processes (1)
- New vehicles (1)
- Newly public frms (1)
- Norway (1)
- Numerical accuracy (1)
- Offline advertising (1)
- Online Advertising (1)
- Online privacy (1)
- Open-end real estate funds (1)
- Optimal matching techniques (1)
- Optimal redistribution (1)
- Options (1)
- Organizational communication (1)
- Overfunding (1)
- PIPL (1)
- Paid search advertising (1)
- Parkinson’s disease (1)
- Partner Matching (1)
- Patents/patent laws (1)
- Paycheck Protection Program (1)
- Personalbeschaffung (1)
- Personalverhaltensbeeinflussung (1)
- Pigouvian tax (1)
- Plastics (1)
- Pokémon Go (1)
- Political conflict (1)
- Pollution haven hypothesis (1)
- Portfolio optimization (1)
- Preisdifferenzierung (1)
- Preisdiskriminierung (1)
- Price differentiation (1)
- Price discrimination (1)
- Pricing (1)
- Privacy Concerns (1)
- Private equity (1)
- Private investment in public equity (PIPE) (1)
- Private values (1)
- Privatsphäre (1)
- Processing Fluency (1)
- Product design (1)
- Product life cycle (1)
- Product usage (1)
- Production of disclosures (1)
- Productivity growth (1)
- Profit (1)
- Profits and distribution (1)
- Prognose (1)
- Prognosemarkt (1)
- Property rights (1)
- Public procurement (1)
- Quantile regression (1)
- Quantitative Easing (1)
- Real-time data (1)
- Recep Tayyip Erdoğan (1)
- Refugees (1)
- Regional conditions (1)
- Regularized regression (1)
- Relational contracts (1)
- Renegotiation (1)
- Rentenniveau (1)
- Research and market linkages (1)
- Retirement Welfare (1)
- Risk Beliefs (1)
- Risk aggregation (1)
- Risk factors (1)
- Road infrastructure (1)
- SMART targets (1)
- Sales (1)
- Sample-based longitudinal study (1)
- Scrum (1)
- Secondary market (1)
- Security (1)
- Self-control (1)
- Sentiment analysis (1)
- Sequence analyses (1)
- Shareholder value (1)
- Single question approach (1)
- Skill acquisition (1)
- Slow-moving capital (1)
- Small businesses (1)
- Smoothing (1)
- Social Market Economy (1)
- Social interactions (1)
- Social networking site (1)
- Social signaling (1)
- Solution methods (1)
- Spatial econometrics (1)
- Spatially adaptive sparse grids (1)
- Speculative attacks (1)
- Spotify (1)
- Sraffian economics (1)
- Staggered rollout (1)
- State and local government (1)
- Status organizations (1)
- Stewardship Exit Strategy (1)
- Stiglitz (1)
- Stock market (1)
- Stock markets (1)
- Supervised hierarchical clustering (1)
- Systemic risk (1)
- Tail correlation (1)
- Targeting (1)
- Tax policy (1)
- Taxation (1)
- Temperature variability (1)
- Text analysis (1)
- Textual similarity (1)
- The economics of rumours (1)
- Theft (1)
- Theoretical Classification (1)
- Theory of Planned Behavior (1)
- Third-Party Data (1)
- Time preference (1)
- Tontines (1)
- Trading restrictions (1)
- Traffic accidents (1)
- Transformation problem (1)
- Trust Beliefs (1)
- Trustworthiness (1)
- Türkei (1)
- Unemployment (1)
- Unemployment volatility (1)
- University governance (1)
- University-industry linkages (1)
- Unknown probabilities (1)
- Unternehmensziele (1)
- Urban economics (1)
- Urban mobility (1)
- Usage intensity (1)
- Variable annuity (1)
- Vehicle registration tax (1)
- Vergütungssysteme (1)
- Versammlungsfreiheit (1)
- Versorgungsform (1)
- Virtual reality (1)
- Virtuelle Börse (1)
- Visual Complexity (1)
- Visual Prototypicality (1)
- Volatility (1)
- WOM (Word-of-Mouth) (1)
- Wage inertia (1)
- Weak moment inequalities (1)
- Web 2.0 (1)
- Welfare (1)
- Wild bootstrap (1)
- Willingness to pay (1)
- Zentralbankpolitik (1)
- Zero lower bound (1)
- Zetrifikate-Handel (1)
- abduction (1)
- accounting lessons (1)
- agriculture (1)
- aleartory society (1)
- altruism (1)
- argumentation (1)
- artificial intelligence (1)
- asset-backed securities (1)
- attractiveness (1)
- barrier options (1)
- base stations (1)
- batteries (1)
- biodiversity (1)
- bounded rationality (1)
- box-cox transformation (1)
- catastrophe risk transfer (1)
- cell types (1)
- childcare (1)
- climate change (1)
- cloud service provider (1)
- co-residence (1)
- cognitive conflict (1)
- cognitive skills (1)
- communication (1)
- conflict (1)
- conjoint analysis (1)
- consumer protection (1)
- continuous vocational education and training (1)
- continuous vocational education training (1)
- cookie (1)
- credit scoring (1)
- critical thinking (1)
- crowdfunding (1)
- data snooping (1)
- deep learning (1)
- delay of gratification (1)
- developers (1)
- device-to-device communication (1)
- digital transformation (1)
- disadvantaged groups (1)
- disease onset (1)
- disequilibrium (1)
- diversification (1)
- dopamine (1)
- doppelte Vergrauung (1)
- dynamic-panel model (1)
- e-commerce (1)
- economic growth (1)
- economics (1)
- emotional exhaustion (1)
- employees (1)
- employers (1)
- empractical learning (1)
- entrepreneurial finance (1)
- error analysis (1)
- estimation risk (1)
- estrogen status (1)
- evidence-based policy (1)
- evolution (1)
- explainability (1)
- faultlines (1)
- financial decision support (1)
- financial literacy (1)
- financial well-being (1)
- flat rate (1)
- flat-rate bias (1)
- gender (1)
- genetic markers (1)
- gesetzliche Plegeversicherung (1)
- gifted adults (1)
- giftedness (1)
- globalization (1)
- guideline catalog (1)
- hedonic (1)
- heuristics (1)
- homeownership (1)
- honourable merchant (1)
- human neocortex (1)
- illusion of control (1)
- index construction (1)
- individual responsibility (1)
- inferential processes (1)
- influences of participation in CVET (1)
- influencing factors (1)
- informacijska asimetrija (1)
- informal CVET (1)
- information (1)
- information asymmetry (1)
- integrated series with drift (1)
- internet (1)
- interneuron types (1)
- interoperability (1)
- interpretability (1)
- interview study (1)
- jobseekers (1)
- labor supply (1)
- language community (1)
- large N asymptotics (1)
- layer 1 interneurons (1)
- literature review (1)
- longer run (1)
- lump sum (1)
- machine reasoning (1)
- markets (1)
- maternal labor supply (1)
- mobile augmented reality applications (1)
- mobile communication (1)
- moderator (1)
- monetary policy (1)
- monopoly (1)
- mouse neocortex (1)
- multipledocument comprehension (1)
- multivariate analyses (1)
- mutual understanding (1)
- neocortical circuits (1)
- network analysis (1)
- network economy (1)
- neuromodulation (1)
- nineteenth century patent controversy (1)
- non-formal CVET (1)
- nonlinear pricing (1)
- nostalgia (1)
- odločanje (1)
- online advertising (1)
- online nakupovanje (1)
- online purchasing (1)
- online reasoning (1)
- operational risk (1)
- overlapping generations (1)
- p-hacking (1)
- p-values (1)
- pandemic insurance (1)
- pay-per-use bias (1)
- peer effects (1)
- performance evaluation (1)
- platform design (1)
- positivity bias (1)
- prediction market (1)
- price competition (1)
- price elasticity (1)
- privacy (1)
- privacy engineering (1)
- privacy preference (1)
- privacy setting (1)
- private–public partnerships (1)
- probability of default (1)
- process theory (1)
- professional situation (1)
- psychology (1)
- public goods (1)
- quarter of birth (1)
- random covariance (1)
- rationalizable expectations (1)
- real estate investments (1)
- real-time bidding (1)
- reasons and barriers (1)
- receivers (1)
- registration cost (1)
- research transparency (1)
- retirement age (1)
- risk assessment (1)
- risk culture (1)
- security assessment (1)
- security concerns (1)
- security self-assessment (1)
- self-organization (1)
- shared understanding (1)
- single-equations (1)
- small and medium enterprises (1)
- smart home (1)
- smart living (1)
- smart phones (1)
- smartphone apps (1)
- social security (1)
- sociology (1)
- stereotypes (1)
- strain (1)
- stress (1)
- structural equation modeling (1)
- structured products (1)
- students’ errors (1)
- subgroups (1)
- sunspot equilibria (1)
- tariff choice (1)
- tariff-specific preferences (1)
- tariffs (1)
- teachers’ beliefs (1)
- telecommunication (1)
- theorizing in IS (1)
- three-part tariffs (1)
- time-varying risk premia (1)
- token offerings (1)
- trade integration (1)
- translation (1)
- transparency (1)
- user preferences (1)
- user study (1)
- value of information (1)
- video-stimulated recall (1)
- virtual stock market (1)
- web of things (1)
- whole-cell recordings (1)
- willingness to forward (1)
- wireless communication (1)
- wireless networks (1)
- “Macro-regions” (1)
Institute
- Wirtschaftswissenschaften (195) (remove)
A common element of market structure analysis is the spatial representation of firms’ competitive positions on maps. Such maps typically capture static snapshots in time. Yet, competitive positions tend to change. Embedded in such changes are firms’ trajectories, that is, the series of changes in firms’ positions over time relative to all other firms in a market. Identifying these trajectories contributes to market structure analysis by providing a forward-looking perspective on competition, revealing firms’ (re)positioning strategies and indicating strategy effectiveness. To unlock these insights, we propose EvoMap, a novel dynamic mapping framework that identifies firms’ trajectories from high-frequency and potentially noisy data. We validate EvoMap via extensive simulations and apply it empirically to study the trajectories of more than 1,000 publicly listed firms over 20 years. We find substantial changes in several firms’ positioning strategies, including Apple, Walmart, and Capital One. Because EvoMap accommodates a wide range of mapping methods, analysts can easily apply it in other empirical settings and to data from various sources.
Regulators worldwide have been implementing different privacy laws. They vary in their impact on the value for advertisers, publishers and users, but not much is known about these differences. This article focuses on three important privacy laws (i.e., General Data Protection Regulation [GDPR], California Consumer Privacy Act [CCPA] and Personal Information Protection Law [PIPL]) and compares their impact on the value for the three primary actors of the online advertising market, namely, advertisers, publishers and users. This article first compares these three privacy laws by developing a legal strictness score. It then uses the existing literature to derive the effects of the legal strictness of each privacy law on each actor’s value. Finally, it quantifies the three privacy laws’ impact on each actor’s value. The results show that GDPR and PIPL are similar and stricter than CCPA. Stricter privacy laws bring larger negative changes to the value for actors. As a result, both GDPR and PIPL decrease the actors’ value more substantially than CCPA. These value declines are the largest for publishers and are rather similar for users and advertisers. Scholars and practitioners can use our findings to explore ways to create value for multiple actors under various privacy laws.
For many services, consumers can choose among a range of optional tariffs that differ in their access and usage prices. Recent studies indicate that tariff-specific preferences may lead consumers to choose a tariff that does not minimize their expected billing rate. This study analyzes how tariff-specific preferences influence the responsiveness of consumers’ usage and tariff choice to changes in price. We show that consumer heterogeneity in tariff-specific preferences leads to heterogeneity in their sensitivity to price changes. Specifically, consumers with tariff-specific preferences are less sensitive to price increases of their preferred tariff than other consumers. Our results provide an additional reason why firms should offer multiple tariffs rather than a uniform nonlinear pricing plan to extract maximum consumer surplus.
Digitale Technologien begünstigen den Einsatz einer dynamischen Preisgestaltung, also von Preisen, die für ein prinzipiell gleiches Produkt unangekündigt variieren. Dabei werden in der öffentlichen Diskussion unterschiedliche Ausgestaltungsformen dynamischer Preise oftmals vermischt, was eine sinnvolle Analyse der Vor- und Nachteile der dynamischen Preisgestaltung erschwert. Das Ziel des Beitrags ist die Darstellung der ökonomischen Grundlagen und die Diskussion sowie Klassifikation der Ausgestaltungsmöglichkeiten der dynamischen Preisgestaltung. Darüber hinaus erfolgt eine Bewertung der Vor- und Nachteile der dynamischen Preisgestaltung aus Käufer- und Verkäufersicht. Abschließend werden Implikationen für die betriebswirtschaftliche Forschung diskutiert.
Highlights
• The 1986 Immigration Reform and Control Act legalized millions of Hispanic migrants.
• The IRCA receive significantly increases state-to-county fiscal transfers.
• Electoral incentives of the state governor drive the fiscal response of the IRCA.
• Legalization increases Hispanic turnout and political engagement.
Abstract
We study the impact of immigrant legalization on fiscal transfers from state to local governments in the United States, exploiting variation in legal status from the 1986 Immigration Reform and Control Act (IRCA). State governments allocate more resources to IRCA counties, an allocation that is responsive to the electoral incentives of the governor. Importantly, the effect emerges prior to the enfranchisement of the IRCA migrants and we argue it is driven by the IRCA’s capacity to politically empower already legal Hispanic migrants in mixed legal status communities. The IRCA increases turnout in large Hispanic communities as well as Hispanic political engagement, without detectably triggering anti-migrant sentiment.
With adequate support for the learner, errors can have high learning potential. This study investigates rather unsuitable action patterns of teachers in dealing with errors. Teachers rarely investigate the causes that evoke the occurrence of individual students’ errors, but instead often change addressees immediately after an error occurs. Such behavior is frequent in the classroom, leaving unexploited, yet important potential to learn from errors. It has remained unexplained why teachers act the way they do in error situations. Using video-stimulated recalls, I investigate the reasons for teachers’ behavior in students’ error situations by confronting them with recorded episodes from their own teaching. Error situations are analyzed (within-case) and teachers’ beliefs are classified in an explanatory model (cross-case) to illustrate patterns across teachers. Results show that teachers refer to an interaction of student attributes, their own attributes, and error attributes when reasoning their own behavior. I find that reference to specific attributes varies depending on the situation, and so do the described reasons that led to a particular behavior as a spontaneous or more reflective decision.
The crowdfunding of altruism
(2022)
This paper introduces a machine learning approach to quantify altruism from the linguistic style of textual documents. We apply our method to a central question in (social) entrepreneurship: How does altruism impact entrepreneurial success? Specifically, we examine the effects of altruism on crowdfunding outcomes in Initial Coin Offerings (ICOs). The main result suggests that altruism and ICO firm valuation are negatively related. We, then, explore several channels to shed some light on whether the negative altruism-valuation relation is causal. Our findings suggest that it is not altruism that causes lower firm valuation; rather, low-quality entrepreneurs select into altruistic projects, while the marginal effect of altruism on high-quality entrepreneurs is actually positive. Altruism increases the funding amount in ICOs in the presence of high-quality projects, low asymmetric information, and strong corporate governance.
Detailed feedback on exercises helps learners become proficient but is time-consuming for educators and, thus, hardly scalable. This manuscript evaluates how well Generative Artificial Intelligence (AI) provides automated feedback on complex multimodal exercises requiring coding, statistics, and economic reasoning. Besides providing this technology through an easily accessible web application, this article evaluates the technology’s performance by comparing the quantitative feedback (i.e., points achieved) from Generative AI models with human expert feedback for 4,349 solutions to marketing analytics exercises. The results show that automated feedback produced by Generative AI (GPT-4) provides almost unbiased evaluations while correlating highly with (r = 0.94) and deviating only 6 % from human evaluations. GPT-4 performs best among seven Generative AI models, albeit at the highest cost. Comparing the models’ performance with costs shows that GPT-4, Mistral Large, Claude 3 Opus, and Gemini 1.0 Pro dominate three other Generative AI models (Claude 3 Sonnet, GPT-3.5, and Gemini 1.5 Pro). Expert assessment of the qualitative feedback (i.e., the AI’s textual response) indicates that it is mostly correct, sufficient, and appropriate for learners. A survey of marketing analytics learners shows that they highly recommend the app and its Generative AI feedback. An advantage of the app is its subject-agnosticism—it does not require any subject- or exercise-specific training. Thus, it is immediately usable for new exercises in marketing analytics and other subjects.
This paper studies discrete time finite horizon life-cycle models with arbitrary discount functions and iso-elastic per period power utility with concavity parameter θ. We distinguish between the savings behavior of a sophisticated versus a naive agent. Although both agent types have identical preferences, they solve different utility maximization problems whenever the model is dynamically inconsistent. Pollak (1968) shows that the savings behavior of both agent types is nevertheless identical for logarithmic utility (θ = 1). We generalize this result by showing that the sophisticated agent saves in every period a greater fraction of her wealth than the naive agent if and only if θ ≥ 1. While this result goes through for model extensions that preserve linearity of the consumption policy function, it breaks down for non-linear model extensions.
Homeownership rates differ widely across European countries. We document that part of this variation is driven by differences in the fraction of adults co-residing with their parents. Comparing Germany and Italy, we show that in contrast to homeownership rates per household, homeownership rates per individual are very similar during the first part of the life cycle. To understand these patterns, we build an overlapping-generations model where individuals face uninsurable income risk and make consumption-saving and housing tenure decisions. We embed an explicit intergenerational link between children and parents to capture the three-way trade-off between owning, renting, and co-residing. Calibrating the model to Germany we explore the role of income profiles, housing policies, and the taste for independence and show that a combination of these factors goes a long way in explaining the differential life-cycle patterns of living arrangements between the two countries.