MODELLING THE BEHAVIOUR OF HOUSEHOLD’S INVESTMENT

Widayat Widayat (), Wahjoedi Wahjoedi () and M. Syafi’ie Idrus ()

Economic Journal of Emerging Markets, 2011, vol. 3, issue 2, 165-177

Abstract: Household investment has become more important in modern economies. This research builds a behavioural model of investment using a quantitative approach. It tests the effect of socioeconomic condition, financial literacy, and attitudes toward intention and investment decision. The data are collected from 400 heads of household through a structured interview. A sample is selected by a multistage technique. It applies a Structural Equation Modelling to answer the research problem. This paper is successful in constructing a good structural and measurement model to explain the behaviour of the dependent variables in the model. Keyword: Behavioural model of investment, investment, quantitative, householdJEL classification numbers: D1, D14

Date: 2011
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Persistent link: https://EconPapers.repec.org/RePEc:uii:journl:v:3:y:2011:i:2:p:165-177:id:2328

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