Risk tolerance and entrepreneurship

• 成果类型: Article
• 署名作者: Hvide, Hans K.; Panos, Georgios A.
• 署名单位: University of Bergen; University of Stirling; University of Aberdeen
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2013.06.001
• 发表日期: 2014
• 页码: 200-223
• 关键词: Entrepreneurial entry; Entrepreneurial performance; risk tolerance; risk aversion; Stock market participation

摘要

A theoretical tradition argues that more risk tolerant individuals are more likely to become entrepreneurs but perform worse. We test and confirm these predictions with several risk tolerance proxies. Using investment data for 400,000 individuals, we find that common stock investors are around 50% more likely to subsequently start up a firm. Firms started up by common stock investors have about 25% lower sales and 15% lower return on assets. The results are similar using personal leverage and other risk-tolerance proxies. We do not find support for alternative explanations such as unobserved wealth or behavioral effects. (C) 2013 Elsevier B.V. All rights reserved.