Details
| Original language | English |
|---|---|
| Pages (from-to) | 54-78 |
| Number of pages | 25 |
| Journal | World development |
| Volume | 71 |
| Early online date | 25 Dec 2013 |
| Publication status | Published - 1 Jul 2015 |
Abstract
We examine whether the experience of shocks influences individual risk attitude. We measure the risk attitude of more than 4,000 households in Thailand and Vietnam via a simple survey item. The experience of adverse shocks, which is typical for poor and vulnerable households, is related to a higher degree of risk aversion, even when controlled for a large set of socio-demographic variables. Therefore, shocks perpetuate vulnerability to poverty via their effect on risk attitude. We extend this general finding to various categories of shocks and find differences between Thailand and Vietnam. This suggests that risk-coping strategies profit from case-specific design.
Keywords
- Behavior toward risk, Risk attitude, Risk perception, Shocks, South East Asia, Vulnerability
ASJC Scopus subject areas
- Social Sciences(all)
- Geography, Planning and Development
- Social Sciences(all)
- Development
- Social Sciences(all)
- Sociology and Political Science
- Economics, Econometrics and Finance(all)
- Economics and Econometrics
Cite this
- Standard
- Harvard
- Apa
- Vancouver
- BibTeX
- RIS
In: World development, Vol. 71, 01.07.2015, p. 54-78.
Research output: Contribution to journal › Article › Research › peer review
}
TY - JOUR
T1 - Shocks, Individual Risk Attitude, and Vulnerability to Poverty among Rural Households in Thailand and Vietnam
AU - Gloede, Oliver
AU - Menkhoff, Lukas
AU - Waibel, Hermann
N1 - Funding Information: For their helpful comments, we thank the participants of the International Conference of the Economic Science Association (ESA), the Annual Conference of the German Economic Association (VfS), the Annual Conference of the Royal Economic Society (RES), the Annual International Conference of the Research Committee on Development Economics of the German Economic Association, and participants of several research seminars, in particular Bernd Hardeweg, Olaf Hübler, Peter Moffatt, Holger Strulik, Andreas Wagener and three anonymous referees. We gratefully acknowledge the financial support of the German Research Foundation ( DFG FOR 756 ).
PY - 2015/7/1
Y1 - 2015/7/1
N2 - We examine whether the experience of shocks influences individual risk attitude. We measure the risk attitude of more than 4,000 households in Thailand and Vietnam via a simple survey item. The experience of adverse shocks, which is typical for poor and vulnerable households, is related to a higher degree of risk aversion, even when controlled for a large set of socio-demographic variables. Therefore, shocks perpetuate vulnerability to poverty via their effect on risk attitude. We extend this general finding to various categories of shocks and find differences between Thailand and Vietnam. This suggests that risk-coping strategies profit from case-specific design.
AB - We examine whether the experience of shocks influences individual risk attitude. We measure the risk attitude of more than 4,000 households in Thailand and Vietnam via a simple survey item. The experience of adverse shocks, which is typical for poor and vulnerable households, is related to a higher degree of risk aversion, even when controlled for a large set of socio-demographic variables. Therefore, shocks perpetuate vulnerability to poverty via their effect on risk attitude. We extend this general finding to various categories of shocks and find differences between Thailand and Vietnam. This suggests that risk-coping strategies profit from case-specific design.
KW - Behavior toward risk
KW - Risk attitude
KW - Risk perception
KW - Shocks
KW - South East Asia
KW - Vulnerability
UR - http://www.scopus.com/inward/record.url?scp=84890704529&partnerID=8YFLogxK
U2 - 10.1016/j.worlddev.2013.11.005
DO - 10.1016/j.worlddev.2013.11.005
M3 - Article
AN - SCOPUS:84890704529
VL - 71
SP - 54
EP - 78
JO - World development
JF - World development
SN - 0305-750X
ER -