d'Albis, Hippolyte and Etner, Johanna (2013): Illiquid Life Annuities.
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Abstract
In this article, we consider illiquid life annuity contracts and show that they may be preferred to Yaari (1965)’s liquid contracts. In an overlapping-generation economy, liquid life annuities are demanded only if the equilibrium is dynamically inefficient. Alternatively, an equilibrium displaying a positive demand for illiquid life annuities is efficient. In this latter case, the welfare at steady-state is larger if illiquid life annuity contracts are available.
Item Type: | MPRA Paper |
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Original Title: | Illiquid Life Annuities |
Language: | English |
Keywords: | Lifes Annuities; Overlapping generation models |
Subjects: | D - Microeconomics > D1 - Household Behavior and Family Economics > D11 - Consumer Economics: Theory |
Item ID: | 50751 |
Depositing User: | Hippolyte d'Albis |
Date Deposited: | 18 Oct 2013 06:11 |
Last Modified: | 14 Oct 2019 12:12 |
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URI: | https://mpra.ub.uni-muenchen.de/id/eprint/50751 |
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