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market outcomes, we apply a regression-adjusted matched difference-in-differences approach with entropy balancing to account …
Persistent link: https://www.econbiz.de/10013414731
with the skewness of respondents' return expectations for the respective asset, controlling for other moments of a …
Persistent link: https://www.econbiz.de/10012805556
favourable to the market economy. Two parameters that govern this capacity to learn are social entropy and heritability. Social … entropy defines how predictable one's occupation is as a function of one's beliefs. Heritability is the weight of the family …'s beliefs in the determination of the priors of a new generation. Both heritability and social entropy reduce the bias and makes …
Persistent link: https://www.econbiz.de/10003902085
The generalized entropy class of inequality indices is derived for Generalized Beta of the Second Kind (GB2) income …
Persistent link: https://www.econbiz.de/10003597779
Trusting behavior has been shown to affect households' portfolio choice between risky and risk-free financial assets. We extend the analysis of the effect of trust on portfolio choice to include the dominant component of households' portfolios, real estate. In a simple model, we show how the...
Persistent link: https://www.econbiz.de/10009153590
Using a recent Spanish database, we show that remittances respond to cross country differences in portfolio values. This behavior suggests that immigrants are sophisticated economic optimizers who take advantage of opportunities to invest trans-nationally given the networks that immigrants are...
Persistent link: https://www.econbiz.de/10009548887
We show that household heads with a strong internal economic locus of control are more likely to hold equity and hold a larger share of equity in their investment portfolio. This relation holds when we control for economic preferences and possible confounders such as financial literacy,...
Persistent link: https://www.econbiz.de/10011594548
Using university admission cutoffs that generate exogenous variation in college-major choices, we provide causal evidence that enrollment in a business or economics program leads individuals to invest significantly more in the stock market, earn higher portfolio returns, and ultimately...
Persistent link: https://www.econbiz.de/10014529731
In this paper we develop a job portfolio model of dual job holding based on a Stone-Geary utility function. We derive the associated Slutsky equation components. Because the job portfolio model applies only to unconstrained dual jobholders, we separate individuals who moonlight because of an...
Persistent link: https://www.econbiz.de/10003253454
Persistent link: https://www.econbiz.de/10001875426