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Ethnic Persistence, Assimilation and Risk Proclivity

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Author Info
Bonin, Holger
Constant, Amelie
Tatsiramos, Konstantinos
Zimmermann, Klaus F

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Abstract

The paper investigates the role of social norms as a determinant of individual attitudes by analyzing risk proclivity reported by immigrants and natives in a unique representative German survey. We employ factor analysis to construct measures of immigrants’ ethnic persistence and assimilation. The estimated effect of these measures on risk proclivity suggests that adaptation to the attitudes of the majority population closes the immigrant-native gap in risk proclivity, while stronger commitment to the home country preserves it. As risk attitudes are behaviorally relevant, and vary by ethnic origin, our results could also help explain differences in economic assimilation of immigrants.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 6084.

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Date of creation: Feb 2007
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Handle: RePEc:cpr:ceprdp:6084

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Related research
Keywords: assimilation ethnic persistence gender risk attitudes second generation effects

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Find related papers by JEL classification:
D1 - Microeconomics - - Household Behavior
D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
F22 - International Economics - - International Factor Movements and International Business - - - International Migration
J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities and Races; Non-labor Discrimination
J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J62 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Job, Occupational and Intergenerational Mobility; Promotion
J82 - Labor and Demographic Economics - - Labor Standards - - - Labor Force Composition

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  1. Thomas Dohmen & Armin Falk & David Huffman & Uwe Sunde & Jürgen Schupp & Gert G. Wagner, 2005. "Individual Risk Attitudes: New Evidence from a Large, Representative, Experimentally-Validated Survey," IZA Discussion Papers 1730, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Chiswick, Barry R, 1978. "The Effect of Americanization on the Earnings of Foreign-born Men," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 897-921, October. [Downloadable!] (restricted)
  3. Holger Bonin & Thomas Dohmen & Armin Falk & David Huffman & Uwe Sunde, 2006. "Cross-sectional Earnings Risk and Occupational Sorting: The Role of Risk Attitudes," IZA Discussion Papers 1930, Institute for the Study of Labor (IZA). [Downloadable!]
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  4. Constant, Amelie & Gataullina, Liliya & Zimmermann, Klaus F, 2006. "Gender, Ethnic Identity and Work," CEPR Discussion Papers 5983, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  5. Thomas Dohmen & Armin Falk & David Huffman & Uwe Sunde, 2006. "The Intergenerational Transmission of Risk and Trust Attitudes," IZA Discussion Papers 2380, Institute for the Study of Labor (IZA). [Downloadable!]
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  6. Camerer, Colin F. & Hogarth, Robin M., 1999. "The Effects of Financial Incentives in Experiments: A Review and Capital-Labor-Production Framework," Working Papers 1059, California Institute of Technology, Division of the Humanities and Social Sciences. [Downloadable!]
  7. Jürgen Schupp & Gert G. Wagner, 2002. "Maintenance of and Innovation in Long-Term Panel Studies : The Case of the German Socio-Economic Panel (GSOEP)," Discussion Papers of DIW Berlin 276, DIW Berlin, German Institute for Economic Research. [Downloadable!]
  8. Camerer, Colin F & Hogarth, Robin M, 1999. "The Effects of Financial Incentives in Experiments: A Review and Capital-Labor-Production Framework," Journal of Risk and Uncertainty, Springer, vol. 19(1-3), pages 7-42, December. [Downloadable!] (restricted)
  9. Ekelund, Jesper & Johansson, Edvard & Jarvelin, Marjo-Riitta & Lichtermann, Dirk, 2005. "Self-employment and risk aversion--evidence from psychological test data," Labour Economics, Elsevier, vol. 12(5), pages 649-659, October. [Downloadable!] (restricted)
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