We investigate whether acquiring more education when young has long-term effects on risk-taking behavior in financial …

We propose a novel measure of risk perceptions: the price of volatile stocks (PVSt), defined as the book …-to-market ratio of low-volatility stocks minus the book-to-market ratio of high-volatility stocks. PVSt is high when perceived risk … directly measured from surveys and option prices is low. When perceived risk is high according to our measure, safe asset …

In this paper we: (i) provide a model of the endogenous risk intolerance and severe aggregate demand contractions … addressing these contractions. The key mechanism stems from heterogeneous risk tolerance: as a recessionary shock hits the … economy and brings down asset prices, risk-tolerant agents' wealth share declines and their leverage rises endogenously. This …

Investor confidence and risk tolerance are important concepts that investors are constantly trying to gauge. Yet these … when trying to disentangle whether an observed price change is attributable to a shift in investor confidence or a change … changes in demand and fundamentals perceived by all investors, and a second that reflects changes in the relative risk …

Survey (GPS), an experimentally validated survey dataset of time preference, risk preference, positive and negative … reciprocity, altruism, and trust from 80,000 individuals in 76 countries. The data reveal substantial heterogeneity in preferences …

We investigate the relationship between individual trust and individual economic performance. We find that individual … income is hump-shaped in a measure of intensity of trust beliefs. Our interpretation is that highly trusting individuals tend … to assume too much social risk and to be cheated more often, ultimately performing less well than those with a belief …

We investigate whether individuals' experiences of macro-economic outcomes have long-term effects on their risk … lower willingness to take financial risk, are less likely to participate in the stock market, and, conditional on …

focuses on the micro-foundations of information acquisition and the role of human capital in asset, or risk, management. We …

This paper develops an overlapping generations model of optimal rebalancing where agents differ in age and risk … directions, an aggregate risk tolerance effect that depends on the distribution of wealth, and an intertemporal hedging effect …. After a negative macroeconomic shock, relatively risk tolerant investors sell risky assets while more risk averse investors …