Working Papers present research work by both Danmarks Nationalbank’s employees and our partners. Working Papers are primarily targeted at professionals and people with an interest in central banking research as well as economics and finance in a broader sense.
Are people systematically inactive across financial decisions? Linking evidence from mortgage and retirement saving decisions
Many people forgo substantial economic gains by not responding to financial incentives, even in major decisions such as retirement savings and mortgage refinancing. We show that people who are inactive in one context are not systematically inactive in another context. One implication is that the costs of inaction are not concentrated among specific groups.