3: The psychology of savings and investment

David Laibson interviewed by Romesh Vaitilingam, 02 January 2009We need a combination of psychology and economics to understand people's savings and investment decisions, says David Laibson of Harvard University in an interview with Romesh Vaitilingam. We can then build institutions that help people do what they want to do. The interview was recorded at the Centre for Economic Performance in London, where Laibson was delivering the Lionel Robbins Memorial Lectures in November 2007.