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Assimilation in the risk preferences of spouses

Di Falco, S. and Vieider, F. (2018) Assimilation in the risk preferences of spouses. Economic Inquiry, 56 (3). pp. 1809-1816. ISSN 1465-7295

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To link to this item DOI: 10.1111/ecin.12531


We use correlations in the risk preferences of spouses as a testbed of whether preferences are socially transmitted, rather than being innate as traditionally assumed in economics. We obtain rich measurements of the risk preferences of cohabiting spouses in the rural Ethiopian highlands. This allows us to use correlation coefficients at the level of the couple in regression analysis. We find a strong correlation between the strength of the correlation in risk preferences within a couple and how long a couple has been married. This provides direct evidence for assimilation in the risk preference of spouses, and thus for social transmission of preferences. Assortative mating appears to be less important.

Item Type:Article
Divisions:Arts, Humanities and Social Science > School of Politics, Economics and International Relations > Economics
ID Code:72467


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