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novel survey data from the top of the wealth distribution, which have been added to the 2019 German Socio-economic Panel … Study. The data include private wealth balance sheets, in particular the value of own private business assets, and a … share of their wealth in their own businesses when they are more willing to take risks. These associations are stronger …
Persistent link: https://www.econbiz.de/10012389043
attainment independently predict household wealth in the Health and Retirement Study (HRS). This relationship is partly explained … gradient in wealth.We show that individuals with lower genetic scores are more prone to reporting "extreme beliefs" (e … wealth disparities not only through education and higher earnings, but also through their impact on the ability to process …
Persistent link: https://www.econbiz.de/10011613150
with respect to wealth holdings and financial decisions. Immigrant household heads hold less net wealth than native, but … only above the median of the wealth distribution, with housing as the main driver. Immigrant status reduces the likelihood … worsened the condition of immigrants in terms of wealth holdings, home ownership, and financial fragility. …
Persistent link: https://www.econbiz.de/10011950811
Using harmonized wealth data and a novel decomposition approach, we show that cohort effects exist in the income …
Persistent link: https://www.econbiz.de/10010212303
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
This paper analyzes the relationship between individuals' locus of control and their savings behavior, i.e. wealth …-of-control gap in savings rates is largest among rich households, the gap in wealth accumulation is particularly large for poor … households. Finally, households with an internal reference person and average net worth hold significantly less financial wealth …
Persistent link: https://www.econbiz.de/10010228778
We explore asset holding diversification by Australian households, in particular, the household asset diversification participation decision (whether or not to diversify at all) is jointly estimated with the decision of how much to diversify. In so doing, recent literature on the modelling of...
Persistent link: https://www.econbiz.de/10010379946
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
To examine the relationship between early health status and financial decisions in adulthood, we link information on birth weight in 1966 from the Northern Finland Birth Cohort to data from the Finnish Central Securities Depository over the period of 1995-2010. We find that persons predisposed...
Persistent link: https://www.econbiz.de/10012006166
We document that an internal locus of control can be hindering in financial market situations, where short-term outcomes are determined by chance. The reason is that internally controlled individuals may tend to (over-)react to random outcomes. Our evidence is based on an experiment in which...
Persistent link: https://www.econbiz.de/10011865329