# Pension Dataset Description

The `pension` dataset is used to analyze various factors influencing retirement savings and financial assets. The dataset contains several variables, each representing demographic and financial attributes of individuals.

## Variables

### 1. **D**: Contribution to 401(k) Plan (`pension$p401`)

   - Binary indicator variable.

   - `1`: Individual contributes to a 401(k) retirement plan.

   - `0`: Individual does not contribute to a 401(k) retirement plan.

### 2. **Z**: Eligibility for 401(k) Plan (`pension$e401`)

   - Binary indicator variable.

   - `1`: Individual is eligible for a 401(k) retirement plan.

   - `0`: Individual is not eligible for a 401(k) retirement plan.

### 3. **Y**: Net Total Financial Assets (`pension$net_tfa`)

   - Continuous variable.

   - Represents the individual's total financial assets, adjusted for liabilities.

### 4. **X**: Covariates

   - A matrix of individual-level demographic and financial features. The variables included are:

| Variable             | Description                          |

|----------------------|--------------------------------------|

| **Age**              | Age of the individual.              |

| **Benefit pension**  | Binary indicator for benefit pension.|

| **Education**        | Years of education completed.       |

| **Family size**      | Number of family members.           |

| **Home owner**       | Binary indicator for home ownership.|

| **Income**           | Annual income (continuous variable).|

| **Male**             | Binary indicator for gender.        |

| **Married**          | Binary indicator for marital status.|

| **IRA**              | Binary indicator for having an Individual Retirement Account (IRA).|

| **Two earners**      | Binary indicator for dual-income households.|

## Data Structure

The dataset contains:

- Binary variables for 401(k) contributions and eligibility (`D` and `Z`).

- A continuous variable for financial assets (`Y`).

- A set of covariates (`X`) covering demographic and financial information.

## Usage

The dataset can be used for:

- Analyzing the relationship between 401(k) eligibility/contribution and financial assets.

- Studying the effects of demographic factors on retirement savings behavior.

- Building models to predict financial asset accumulation based on demographic features.

## Example R Code

Here is an example of how to load and prepare the data:

```R

data(pension)

D = pension$p401

Z = pension$e401

Y = pension$net_tfa

X = model.matrix(~ 0 + age + db + educ + fsize + hown + inc + male + marr + pira + twoearn, data = pension)

var_nm = c("Age","Benefit pension","Education","Family size","Home owner","Income","Male","Married","IRA","Two earners")

colnames(X) = var_nm