Enrollment and Participation in a Universal Child Savings Program: Evidence from Israel
*Names in bold indicate Presenter
This research examines how decisions made by Israeli households with regards to their CSA accounts vary across demographic and financial household characteristics. We use population-level administrative data collected by the Israeli National Insurance Institute, which contain demographic and financial records for all Israeli households with at least one child under 18 years old, including 3.1 million children and 1.3 million parents.
Preliminary results suggest that the program has been successful in encouraging Israeli households to make additional monthly contributions. More affluent and better-educated households tend to engage with the program at higher rates. Yet, substantial differences in the ethnic composition are observed when looking at the selection of savings options. These patterns indicate that while the CSA program may increase the overall financial security of Israelis, it may also exacerbate existing economic inequality.