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Entrepreneurs from single-parent families and firm risk-taking

Author

Listed:
  • Song, Ciji
  • Zhang, Qi
  • Song, Zengji

Abstract

This paper examines the effect of entrepreneurs' childhood family structure on corporate risk-taking. We find that, compared with firms led by entrepreneurs from two-parent families, firms led by entrepreneurs from single-parent families exhibit a lower level of corporate risk-taking. Furthermore, we find that entrepreneurs’ education and political experience can mitigate the negative relationship between single-parent family background and corporate risk-taking. Our study contributes to the literature by enriching the understanding of how entrepreneurial heterogeneity influences firm behavior.

Suggested Citation

  • Song, Ciji & Zhang, Qi & Song, Zengji, 2025. "Entrepreneurs from single-parent families and firm risk-taking," Finance Research Letters, Elsevier, vol. 85(PC).
    • Handle: RePEc:eee:finlet:v:85:y:2025:i:pc:s1544612325013303
    DOI: 10.1016/j.frl.2025.108072
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    References listed on IDEAS

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    1. Song, Ciji & Nahm, Abraham Y. & Song, Zengji, 2025. "Childhood socioeconomic status of Chinese entrepreneurs and company risk-taking," International Review of Economics & Finance, Elsevier, vol. 98(C).
    2. Liu, Chunbo & Xu, Liang & Yang, Haoyi & Zhang, Wenqiao, 2023. "Prosocial CEOs and the cost of debt: Evidence from syndicated loan contracts," Journal of Corporate Finance, Elsevier, vol. 78(C).
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    5. Chen, Hung-Kun & Liao, Yin-Chi & Lin, Chih-Yung & Yen, Ju-Fang, 2018. "The effect of the political connections of government bank CEOs on bank performance during the financial crisis," Journal of Financial Stability, Elsevier, vol. 36(C), pages 130-143.
    6. Huang, Shuang & Zhang, Zheng & Nahm, Abraham Y. & Song, Zengji, 2024. "CEO's prison experience and corporate risk-taking," International Review of Financial Analysis, Elsevier, vol. 95(PB).
    7. Chen, Ruiyuan (Ryan) & Liu, Feiyu & Zhao, Yijia (Eddie), 2023. "Sovereign wealth funds and cost of debt: Evidence from syndicated loans," Journal of Corporate Finance, Elsevier, vol. 82(C).
    8. Hisham Farag & Chris Mallin, 2018. "The influence of CEO demographic characteristics on corporate risk-taking: evidence from Chinese IPOs," The European Journal of Finance, Taylor & Francis Journals, vol. 24(16), pages 1528-1551, November.
    Full references (including those not matched with items on IDEAS)

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