New paper: "Debt and Financial Vulnerability on the Verge of Retirement"

Debt and Financial Vulnerability on the Verge of Retirement
by Annamaria Lusardi, Olivia S. Mitchell, Noemi Oggero  -  #23664 (AG)

Abstract:

We analyze older individuals' debt and financial vulnerability using
data from the Health and Retirement Study (HRS) and the National
Financial Capability Study (NFCS).  Specifically, in the HRS we
examine three different cohorts (individuals age 56-61) in 1992,
2004, and 2010 to evaluate cross-cohort changes in debt over time. 
We also use two waves of the NFCS (2012 and 2015) to gain additional
insights into debt management and older individuals' capacity to
shield themselves against shocks.  We show that recent cohorts have
taken on more debt and face more financial insecurity, mostly due to
having purchased more expensive homes with smaller down payments.

http://papers.nber.org/papers/w23664?utm_campaign=ntw&utm_medium=email&utm_source=ntw