“…Ultimately, savings are not only a manifestation of one's ability to save, determined by the ratio of income and consumption, but also of an individual's consumption preferences and biases. While factors like incomes and rates of return play a crucial role in savings decisions, other factors such as individual behavior, preference, and bias make the outcome more complex (Clifton et al, 2020; NBER, 2016). Across studies, present bias is significantly associated with the lower retirement savings (Goda et al, 2019), higher credit card usage, reduced retirement planning, and current occupational decisions (Madrian & Shea, 2001).…”