Welcome to the ARIA 2021 Annual Meeting Agenda App. You are seeing this in simple view. Click on any session to see Presenters, Discussants and a Session Description. Click on Presenters to find a single presenter and their sessions. If you find an error, please email gphillips@aria.org. Registrants have been added and will continue to be updated until 7/29/21 when registration closes. Zoom links will be shared directly with all participants two days prior to the conference. Please make notifications@sched.com a "safe sender" in your email system. We will be sending messages throughout the conference through this medium. 
Back To Schedule
Wednesday, August 4 • 1:00pm - 2:30pm
7B3 What to Offer If Consumers Do Not Want What They Need? A Simultaneous Evaluation Approach with an Application to Retirement Savings Products

Sign up or log in to save this to your schedule, view media, leave feedback and see who's attending!

Feedback form is now closed.
Mark Schultze, Ulm University; Jochen Rub, if a - Institute für Finanz- und Aktuarwissenschaften / Ulm University; Stefan Schelling, Ulm University

Traditionally, in economics one considers utility maximizing economic agents. The results provide insight on how consumers should behave. In practice, however, human decisions are influenced by numerous behavioral patterns that result in a deviation between subjective attractiveness and objective utility and hence lead to systematic deviations from rationally optimal behavior. This also applies to decisions in the context of retirement saving, we often find a large difference between theoretically optimal products and observed demand. In the worst case, this can result in substantial pension gaps, and hence in a reduction of the standard of living in in the retirement phase. The aim of this work is to (simultaneously) assess and evaluate the objectively rational utility and the subjectively perceived attractiveness of retirement savings products. Such a combined approach can help to identify or design retirement savings products that create a high (albeit not the maximum possible) objective utility while at the same time being subjectively of high (albeit not maximum possible) attractiveness. We argue that a focus on such products might help consumers make better decisions than currently observed decisions that seem to be driven primarily by subjective attractiveness.


Christoph Jaenicke

University of St. Gallen


Mark Schultze

Ulm University

Wednesday August 4, 2021 1:00pm - 2:30pm EDT