Skip to main content

Table 6 Direct and indirect effects of motives and literacy

From: What matters in the annuitization decision?

Dependent variable: Selected annuity = Yes
Variables Direct effect Indirect effect
Motives
Liquidity − 0.357*** − 0.128**
(0.061) (− 0.193, − 0.074)
Family risk pooling − 0.123** − 0.173
(0.053) (− .064, 0.030)
Bequest − 0.015 − 0.005
(0.047) (− 0.046, 0.034)
Investment frame − 0.370*** − 0.138**
(0.084) (− 0.214, − 0.072)
Mortality salience − 0.100** − 0.023
(0.043) (− 0.060, 0.011)
Self-selection 0.228*** 0.011
(0.072) (− 0.050, 0.073)
Literacy
Basic annuity literacy 0.279*** 0.277**
(0.108) (0.195, 0.379)
Financial literacy 0.014 − 0.120**
(0.079) (− 0.205, − 0.048)
  1. This table presents the log-odds direct and indirect effects of the motive and literacy variables. The mediator is taken as annuity antipathy (dislike of annuities). The dependent variable is whether the individual selected the annuity in the hypothetical scenario question. Robust standard errors and 95% CI in parentheses for direct and indirect effects. Effects are expressed in log-odds. ***p < 0.01, **p < 0.05, *p < 0.1