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Risk attitudes and migration

Author

Listed:
  • Akgüç, Mehtap
  • Liu, Xingfei
  • Tani, Massimiliano
  • Zimmermann, Klaus F.

Abstract

To contribute to a scarce literature, in particular for developing and emerging economies, we study the nature of measured risk attitudes and their consequences for migration. We also investigate whether substantial changes in the risk environment influence risk tolerance. Using the 2009 RUMiC data for China, we find that rural–urban migrants and their family members are substantially less risk-averse than stayers. We further provide suggestive evidence that individual risk attitudes are unaffected by substantial changes in the environment and that risk tolerance is correlated across generations.

Suggested Citation

  • Akgüç, Mehtap & Liu, Xingfei & Tani, Massimiliano & Zimmermann, Klaus F., 2016. "Risk attitudes and migration," China Economic Review, Elsevier, vol. 37(C), pages 166-176.
  • Handle: RePEc:eee:chieco:v:37:y:2016:i:c:p:166-176
    DOI: 10.1016/j.chieco.2015.12.004
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    Citations

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    Cited by:

    1. Maurice Schiff, 2017. "Ability drain: size, impact, and comparison with brain drain under alternative immigration policies," Journal of Population Economics, Springer;European Society for Population Economics, vol. 30(4), pages 1337-1354, October.
    2. repec:eee:chieco:v:49:y:2018:i:c:p:210-228 is not listed on IDEAS
    3. Maurice Schiff, 2015. "Ability Drain," RSCAS Working Papers 2015/92, European University Institute.
    4. Hao, Li & Houser, Daniel & Mao, Lei & Villeval, Marie Claire, 2016. "Migrations, risks, and uncertainty: A field experiment in China," Journal of Economic Behavior & Organization, Elsevier, vol. 131(PA), pages 126-140.
    5. He Zhu & Tsunehiro OTSUKI, 2018. "Can Two Consecutive Generations’ Data Predict Longterm Intergenerational Transition? Evidence from China with three generations," OSIPP Discussion Paper 18E004, Osaka School of International Public Policy, Osaka University.
    6. repec:eee:jeborg:v:150:y:2018:i:c:p:132-148 is not listed on IDEAS
    7. Géraldine Bocquého & Marc Deschamps & Jenny Helstroffer & Julien Jacob & Majlinda Joxhe, 2018. "The risk and refugee migration," Documents de Travail de l'OFCE 2018-10, Observatoire Francais des Conjonctures Economiques (OFCE).
    8. Gibson, John & McKenzie, David & Rohorua, Halahingano & Stillman, Steven, 2019. "The long-term impact of international migration on economic decision-making: Evidence from a migration lottery and lab-in-the-field experiments," Journal of Development Economics, Elsevier, vol. 138(C), pages 99-115.
    9. Peter Huber & Klaus Nowotny, 2018. "Risk Aversion and the Willingness to Migrate in 30 Countries," WIFO Working Papers 569, WIFO.
    10. Acharyya, Rajat & Kar, Saibal, 2017. "On Asymmetric Migration Patterns from Developing Countries," GLO Discussion Paper Series 4, Global Labor Organization (GLO).

    More about this item

    Keywords

    Risk aversion; Risk attitudes; Migration; China;

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

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