Working Paper: NBER ID: w10514
Authors: John Ameriks; Andrew Caplin; John Leahy; Tom Tyler
Abstract: How significant are individual differences in self-control? Do these differences impact wealth accumulation? From where do they derive? Our survey-based measure of self-control provides insights into all three questions: 1.There are individual differences in self-control not only of a quantitative but also of a qualitative nature. In our sample, standard self-control problems of over-consumption are no more prevalent than are problems of under-consumption. 2.Standard self-control problems do impede wealth accumulation, particularly in liquid form. Problems of under-consumption have the opposite effects. 3.Self-control is linked to conscientiousness' much studied by psychologists. There is a related link with financial planning.
Keywords: No keywords provided
JEL Codes: D1; D9; E2
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| self-control problems (D91) | wealth accumulation (E21) |
| under-consumption problems (E21) | wealth accumulation (E21) |
| self-control (D91) | conscientiousness (D91) |
| conscientiousness (D91) | self-control problems (D91) |