Note on ways of saving: mental mechanisms as tools for self-control?
by Philipp E. Otto, Greg B. Davies, Nick Chater
Global Business and Economics Review (GBER), Vol. 9, No. 2/3, 2007

Abstract: With Keynes (1936), it is part of accepted theory that we have different motives for saving, including the need to secure means for the future. To bridge the gap between motives and observed behaviour, we assume it is necessary to understand how people actually try to achieve their saving goals. A new method of visualising existing saving concepts is introduced, which shows that individuals apply a range of saving strategies to organise their finances. Based on a financial personality survey it is shown how external as well as internal control for saving can be improved systematically.

Online publication date: Tue, 22-May-2007

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