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Author: Cossa, Ricardo
Resulting in 2 citations.
1. Lusardi, Annamaria
Cossa, Ricardo
Krupka, Erin L.
Savings of Young Parents
Journal of Human Resources 36,4 (Fall 2001): 762-794.
Also: http://www.jstor.org/stable/3069641
Cohort(s): NLSY97
Publisher: University of Wisconsin Press
Keyword(s): Assets; Household Income; Nonresponse; Parenthood; Savings

In this paper, we examine household savings using data from the National Longitudinal Survey, Cohort 1997. This data set provides detailed information about assets and liabilities of parents with teenage children. In our empirical work, we have to first deal with several problems in measuring wealth. Although many responding parents report owning assets and liabilities, they often do not report their values. To get around the nonresponse problem, we impute the missing values for assets and liabilities. To study the patterns of accumulation of young parents, we examine wealth holdings and asset ownership across several demographic groups.
Bibliography Citation
Lusardi, Annamaria, Ricardo Cossa and Erin L. Krupka. "Savings of Young Parents." Journal of Human Resources 36,4 (Fall 2001): 762-794.
2. Lusardi, Annamaria
Cossa, Ricardo
Krupka, Erin L.
Savings of Young Parents
WP-2000-23, Federal Reserve Bank of Chicago, December 2000.
Also: http://www.chicagofed.org/webpages/publications/working_papers/2000/wp_23.cfm
Cohort(s): NLSY97
Publisher: Federal Reserve Bank of Chicago
Keyword(s): Educational Attainment; Household Income; Life Cycle Research; Panel Study of Income Dynamics (PSID); Parenthood; Retirement; Savings; Teenagers

Permission to reprint the abstract has not been received from the publisher.

In this paper, we examine household savings using data from the National Longitudinal Survey, Cohort 1997 (NLSY97). This data set provides detailed information about assets and liabilities of parents with teen-age children and allows researchers to examine patterns of accumulation at early stages of the life cycle. In our empirical work, we have first to deal with several problems in measuring wealth. While many respondents report owning assets and liabilities, they often do not report their values. This problem is severe, in particular among financial assets. It is also difficult to devise an appropriate measure of accumulation when examining young parents, since assets and liabilities display different degrees of liquidity. To get around the non-response problem, we impute the missing values for assets and liabilities. This allows us to calculate household wealth for the whole sample. We examine household wealth holdings by considering several measures of accumulation: total (non-pension) net worth, financial net worth, and retirement savings. We study their distribution across different demographic groups and show that many households, in particular those headed by young parents (younger than 35), minorities, and individuals with low educational attainment, display very little accumulation. Many have no financial assets and their total net worth is also low. Housing equity is the main asset in many household portfolios and often the only asset families own. Overall, there is much heterogeneity in wealth holdings not only across but also within demographic groups. This suggests that many factors are at play in shaping the wealth accumulation of parents with young children.
Bibliography Citation
Lusardi, Annamaria, Ricardo Cossa and Erin L. Krupka. "Savings of Young Parents." WP-2000-23, Federal Reserve Bank of Chicago, December 2000.