Arbeitspapier

Child health, human capital and adult financial behavior

In this work, utilizing yearly variation between biological siblings, we test for a correlation between poor child health and adult household financial behavior, i.e. risky asset market participation. Using regression and decomposition techniques, we test if this long reach of child health operates through cognitive and non-cognitive skills. Our results indicate a negative correlation of roughly -4.1 percentage points conditional on demographics and family background. Slightly more than half of this correlation can be explained by differences in cognitive and non-cognitive skills. This work highlights the importance of good child health for adult financial behavior.

Language
Englisch

Bibliographic citation
Series: Diskussionspapier ; No. 174

Classification
Wirtschaft
Household Saving; Personal Finance
Human Capital; Skills; Occupational Choice; Labor Productivity
Portfolio Choice; Investment Decisions
Subject
portfolio choice
human capital
child health

Event
Geistige Schöpfung
(who)
Luik, Marc-André
Event
Veröffentlichung
(who)
Helmut-Schmidt-Universität - Universität der Bundeswehr Hamburg, Fächergruppe Volkswirtschaftslehre
(where)
Hamburg
(when)
2016

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Luik, Marc-André
  • Helmut-Schmidt-Universität - Universität der Bundeswehr Hamburg, Fächergruppe Volkswirtschaftslehre

Time of origin

  • 2016

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