Beshears, John. <br/><br/>
The Effect of Providing Peer Information on Retirement Savings Decisions / 
John Beshears, James J. Choi, David Laibson, Brigitte C. Madrian, Katherine L. Milkman. 
 - Cambridge, Mass.  National Bureau of Economic Research  2011. 
 - 1 online resource:  illustrations (black and white); 
 - NBER working paper series  no. w17345 .
 - Working Paper Series (National Bureau of Economic Research)  no. w17345. .
<br/><br/> August 2011. 
<br/><br/> We conducted a field experiment in a 401(k) plan to measure the effect of disseminating information about peer behavior on savings. Low-saving employees received simplified plan enrollment or contribution increase forms. A randomized subset of forms stated the fraction of age-matched coworkers participating in the plan or age-matched participants contributing at least 6% of pay to the plan. We document an oppositional reaction: the presence of peer information <i>decreased</i> the savings of non-participants who were ineligible for 401(k) automatic enrollment, and higher observed peer savings rates also decreased savings. Discouragement from upward social comparisons seems to drive this reaction. 
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