Hurst, Erik; Kennickell, Arthur; Lusardi, Annamaria; … - Center for Financial Studies - 2006
In this paper, we show the pivotal role business owners play in estimating the importance of the precautionary saving … motive. The fact that business owners hold higher-than-average wealth while facing higher income risk than other households … business owners and non-business owners the size of precautionary savings with respect to labor income risk is modest and …