[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/ays/ispwps/paper1917.html
   My bibliography  Save this paper

Does Education Increase Risk Aversion? Evidence Using Artefactual Experiments in Peru

Author

Listed:
  • Alberto Chong

    (Department of Economics, Andrew Young School of Policy Studies, Georgia State University, USA)

  • Joan J. Martínez

    (University of California, Berkeley, USA)

Abstract
We provide empirical evidence that supports a causal link from education to risk aversion when using representative data from representative surveys and artefactual or lab-in-the field experiments in Lima, Peru. We employ three standard experimental measures of risk aversion and find that each of them is positively correlated with years of education. We suggest that this relationship may be causal as we take advantage of an identification strategy that exploits a national law enacted in order to incentivize the construction of new schools in Lima, which allows us to provide evidence that more education may increase risk aversion. Our findings are further confirmed when applying a broad set of robustness tests.

Suggested Citation

  • Alberto Chong & Joan J. Martínez, 2019. "Does Education Increase Risk Aversion? Evidence Using Artefactual Experiments in Peru," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper1917, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    • Handle: RePEc:ays:ispwps:paper1917
    as

    Download full text from publisher

    File URL: https://icepp.gsu.edu/files/2019/09/paper1917.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Basu, Arnab K. & Dimova, Ralitza, 2021. "Household Preferences and Child Labor in Rural Ethiopia," IZA Discussion Papers 14062, Institute of Labor Economics (IZA).

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ays:ispwps:paper1917. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Paul Benson (email available below). General contact details of provider: https://edirc.repec.org/data/ispgsus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.