Wealth Accumulation and the Propensity to Plan

@article{Ameriks2002WealthAA,
  title={Wealth Accumulation and the Propensity to Plan},
  author={John A. Ameriks and Andrew Caplin and John Leahy},
  journal={Macroeconomics eJournal},
  year={2002}
}
Why do similar households end up with very different levels of wealth? We show that differences in the attitudes and skills with which they approach financial planning are a significant factor. We use new and unique survey data to assess these differences and to measure each household's "propensity to plan." We show that those with a higher such propensity spend more time developing financial plans, and that this shift in planning is associated with increased wealth. These findings are… 

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