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How do the risks of living long and facing high medical expenses affect the elderly’s saving behavior?


Abstract: This article shows that the elderly, especially those with high lifetime incomes, maintain large asset holdings to account for the possibility of their living a long time and facing high medical expenses.

Keywords: Income; Medical care; Life expectancy;

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Provider: Federal Reserve Bank of Chicago

Part of Series: Chicago Fed Letter

Publication Date: 2012

Issue: Jan

Order Number: 294