Disability and risk preferences Experimental and survey evidence from Vietnam

• 成果类型: Article
• 署名作者: Jan, Priebe; Ute, Rink; Henry, Stemmler
• 署名单位: University of Gottingen; The World Bank
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/ueae029
• 发表日期: 2024
• 页码: 3390-3427
• 关键词: background risk; time-preferences; extra costs; attitudes; HEALTH; poverty; earnings; IMPACT; aversion; VIOLENCE

摘要

We investigate whether experiencing a disability incidence in the household affects economic risk preferences in Vietnam, leveraging (i) ten years of individual-level panel data and (ii) data from a lab-in-the-field experiment. We find that individuals who experience a disability event in the household behave in a more risk-averse manner than individuals without such an experience. Examining potential underlying mechanisms, we demonstrate that a household disability shock leads to lower wealth, which in turn is related to higher levels of risk aversion. Furthermore, we provide evidence that cognitive mechanisms-fearful emotions and the updating of beliefs (becoming more pessimistic about the future)-are another, perhaps even more important channel through which disability shocks affect risk preferences.