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Senior man calculating finances

Abstract Much of the disagreement over whether households are adequately prepared for retirement reflects differences in assumptions regarding the extent to which consumption declines when the kids leave home.  If consumption declines substantially when the kids leave home, as some life-cycle models of retirement saving assume, households need to achieve lower replacement rates in retirement…

Their finances are in the green

Abstract Given concerns about the depletion of the Social Security Trust Fund, policymakers are considering several proposals to improve the financial sustainability of the program, including some that would lower benefits over time.  The extent to which reductions in Social Security benefits impact individual health and well-being is not well understood.  Using data from a…