D4 Published development or research report or study
Early Health, Risk Aversion and Stock Market Participation (2019)
Böckerman, P., Conlin, A., & Svento, R. (2019). Early Health, Risk Aversion and Stock Market Participation. IZA Institute of Labor Economics. IZA Discussion Papers, 12341. http://ftp.iza.org/dp12341.pdf
JYU authors or editors
Publication details
All authors or editors: Böckerman, Petri; Conlin, Andrew; Svento, Rauli
Journal or series: IZA Discussion Papers
eISSN: 2365-9793
Publication year: 2019
Number in series: 12341
Number of pages in the book: 52
Publisher: IZA Institute of Labor Economics
Place of Publication: Bonn
Publication country: Germany
Publication language: English
Persistent website address: http://ftp.iza.org/dp12341.pdf
Publication open access: Openly available
Publication channel open access: Open Access channel
Publication is parallel published (JYX): https://jyx.jyu.fi/handle/123456789/67657
Abstract
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 19952010. We find that persons predisposed to poor health status in early childhood (indicated by low birth weight) avoid participating in the stock market in adulthood. The link between birth weight and stock market participation is partially explained by the fact that poor early health status leads to risk aversion. Early health status is not significantly related to the portfolio’s value-growth tilt.
Keywords: personal finance; security market; risk-taking; underlying factors; early childhood; state of health; birth weight
Free keywords: health status; stock market participation
Contributing organizations
Ministry reporting: Yes
Reporting Year: 2019