Economics at your fingertips  

Family changes and the willingness to take risks

Mark J. Browne, Verena Jäger, Andreas Richter and Petra Steinorth

Journal of Risk & Insurance, 2022, vol. 89, issue 1, 187-209

Abstract: Economic decisions frequently entail choices in the presence of risk. Decisions to purchase insurance, to save, to invest, and to pursue an education are all choices that may involve some degree of risk, just to name a few. We analyze the impact of changes in family structure on individuals' willingness to take risk (WTR). We find evidence that separating from a partner is associated with an increase in the WTR; while the birth of a first child is associated with a decrease in the WTR. Interestingly, these changes are temporary and the WTR returns to the level observed before the family event within 1–2 years following the event. Married individuals are more risk averse and this does not change with the passage of time of the actual wedding. Providing long term care is also associated with a higher WTR.

Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)

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:

Ordering information: This journal article can be ordered from

Access Statistics for this article

Journal of Risk & Insurance is currently edited by Joan T. Schmit

More articles in Journal of Risk & Insurance from The American Risk and Insurance Association Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().

Page updated 2022-05-07
Handle: RePEc:bla:jrinsu:v:89:y:2022:i:1:p:187-209