In microsimulation literature a limited number of models include a module aimed at analyzing and projecting the evolution of privat e wealth over time. However, this issue appears crucial in order to comprehensively evaluate the li kely distributional effects of institutional reforms adopted to cope with population ageing. In this work we describe the implementation in the Italian dynamic micro simulation model CAPP_DYN of a new module in which households’ savings and asset allocation are modelled. In parti cular, we aim to account for possible behavioural responses to pension reforms in househo ld savings. To this end, we rely on an approximate life cycle structural framework for est imating saving behaviour, while adopting a traditional stochastic micro simulation approach fo r asset allocation. In line with Ando and Nicoletti Altimari (2004), we emphasize the role of lifetime economic resources in households’ consumption decisions, yet we further account for i nternal habit formation and subjective expectations on pension outcomes in the econometric stage. In addition, we model intergenerational transfers of private wealth in a probabilistic fashion

Mazzaferro, C., Tedeschi, S., Morciano, M., Pisano, E. (2013). Modelling Private Wealth Accumulation and Spend Down in the Italian Microsimulation Model CAPP_DYN: A Life-Cycle Approach. THE INTERNATIONAL JOURNAL OF MICROSIMULATION, 6(2), 76-122.

Modelling Private Wealth Accumulation and Spend Down in the Italian Microsimulation Model CAPP_DYN: A Life-Cycle Approach

MAZZAFERRO, CARLO;MORCIANO, MARCELLO;PISANO, ELENA
2013

Abstract

In microsimulation literature a limited number of models include a module aimed at analyzing and projecting the evolution of privat e wealth over time. However, this issue appears crucial in order to comprehensively evaluate the li kely distributional effects of institutional reforms adopted to cope with population ageing. In this work we describe the implementation in the Italian dynamic micro simulation model CAPP_DYN of a new module in which households’ savings and asset allocation are modelled. In parti cular, we aim to account for possible behavioural responses to pension reforms in househo ld savings. To this end, we rely on an approximate life cycle structural framework for est imating saving behaviour, while adopting a traditional stochastic micro simulation approach fo r asset allocation. In line with Ando and Nicoletti Altimari (2004), we emphasize the role of lifetime economic resources in households’ consumption decisions, yet we further account for i nternal habit formation and subjective expectations on pension outcomes in the econometric stage. In addition, we model intergenerational transfers of private wealth in a probabilistic fashion
2013
Mazzaferro, C., Tedeschi, S., Morciano, M., Pisano, E. (2013). Modelling Private Wealth Accumulation and Spend Down in the Italian Microsimulation Model CAPP_DYN: A Life-Cycle Approach. THE INTERNATIONAL JOURNAL OF MICROSIMULATION, 6(2), 76-122.
Mazzaferro, C.; Tedeschi, S.; Morciano, M.; Pisano, E.
File in questo prodotto:
Eventuali allegati, non sono esposti

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/11585/602897
 Attenzione

Attenzione! I dati visualizzati non sono stati sottoposti a validazione da parte dell'ateneo

Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus ND
  • ???jsp.display-item.citation.isi??? ND
social impact