If you overhear a group of people talking about their plans to save for their retirement and one of them says that it causes them to save less because, as they reason it, "the government is saving for me" you would attribute this to the

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The asset substitution effect describes a situation where individuals may save less for themselves because they perceive that they have a substitute in place, such as government savings or pensions, which reduces their own need to save. This effect explains why someone might save less for retirement, believing that the government's efforts (through social security or other retirement benefits) are sufficient for their future needs.

If You Overhear a Group of People Talking About Their