Experimentally validated general risk attitude among different ethnic groups in Vietnam

Huong Dien Pham, Sabine Liebenehm and Hermann Waibel

TVSEP Working Papers from Leibniz Universitaet Hannover, Institute for Environmental Economics and World Trade, Project TVSEP

Abstract: In this paper, we compare experimentally measured individual risk attitudes and survey-based risk items for rural households in the province of Dak Lak in Southern Vietnam. In particular, we test whether the survey-based measure can be validated by a risk experiment among different ethnic groups. Albeit we find that ethnic minorities are on average more risk averse than the ethnic majority, our results show similar correlations between risk attitudes and socio-economic characteristics among the two ethnic groups. Testing the explanatory power of the survey-based risk item shows the validity of this measure among different ethnic groups. Our findings have potentially important implications. First, the survey-based item is effective to measure risk attitudes of a multiethnic community. Second, our findings also suggest that the assumption of a "self-reinforcing culture of poverty" which is often attributed to minority group of Vietnam should be challenged in the light of these results.

Keywords: Ethnic minorities; Survey risk items; Risk experiments (search for similar items in EconPapers)
JEL-codes: C83 C93 Z19 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2017-10
New Economics Papers: this item is included in nep-exp and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://wp-tvsep.iuw.uni-hannover.de/RePEc/tvs/pdfbib/wp-004.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tvs:wpaper:wp-004

Access Statistics for this paper

More papers in TVSEP Working Papers from Leibniz Universitaet Hannover, Institute for Environmental Economics and World Trade, Project TVSEP Contact information at EDIRC.
Bibliographic data for series maintained by Nguyen, Trung Thanh ().