Family Discourse Right Conflict and Asset Allocation

ABSTRACT

This paper uses the data of the China Household Finance Survey(CHFS) 2013 to research the impact of family discourse right conflict on household asset allocation. The results show that discourse right conflict has a significant impact on family investment. In addition, the conclusion that households with a lower degree of discourse right conflict will hold less risky assets remains robust after replacement of the indicators of the conflict variable, changing of the model settings and the use of instrumental variables. We think there may exist an impact mechanism between discourse right conflict and asset allocation. With the increase in the level of discourse right conflict, family members may change their risk preferences because they want to gain higher family status by earning more.

KEY WORDS:

• asset allocation
• discourse right conflict
• family decision

Supplementary material

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Additional information

Funding

This paper is supported by National Natural Science Foundation of China (71773011); Fundamental Research Funds for the Central Universities (2015CDJSK) (2017CDJSK01PT04).