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The influence of spouses on household decision making under risk: an experiment in rural China

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  • Fredrik Carlsson
  • Peter Martinsson
  • Ping Qin
  • Matthias Sutter

    ()

Abstract

We study household decision making in a high-stakes experiment with a random sample of households in rural China. Spouses have to choose between risky lotteries, first separately and then jointly. We find that spouses’ individual risk preferences are more similar the richer the household and the higher the wife’s relative income contribution. A couple’s joint decision is typically very similar to the husband’s preferences, but women who contribute relatively more to the household income, women in high-income households, and women with communist party membership have a stronger influence on the joint decision. Copyright Economic Science Association 2013

Suggested Citation

  • Fredrik Carlsson & Peter Martinsson & Ping Qin & Matthias Sutter, 2013. "The influence of spouses on household decision making under risk: an experiment in rural China," Experimental Economics, Springer;Economic Science Association, vol. 16(3), pages 383-401, September.
  • Handle: RePEc:kap:expeco:v:16:y:2013:i:3:p:383-401
    DOI: 10.1007/s10683-012-9343-7
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Brooks, N. & Bhojvaid, V. & Jeuland, M.A. & Lewis, J.J. & Patange, O. & Pattanayak, S.K., 2016. "How much do alternative cookstoves reduce biomass fuel use? Evidence from North India," Resource and Energy Economics, Elsevier, vol. 43(C), pages 153-171.
    2. Pan He & Marcella Veronesi & Stefanie Engel, 2016. "Consistency of Risk Preference Measures and the Role of Ambiguity: An Artefactual Field Experiment from China," Working Papers 03/2016, University of Verona, Department of Economics.
    3. Holden, Stein & Bezu, Sosina, 2014. "Are Wives less Selfish than their Husbands? Evidence from Hawk-Dove Game Field Experiments," CLTS Working Papers 3/14, Norwegian University of Life Sciences, Centre for Land Tenure Studies.
    4. Carlsson, Fredrik & Yang, Xiaojun, 2013. "Intertemporal Choice Shifts in Households: Do they occur and are they good?," Working Papers in Economics 569, University of Gothenburg, Department of Economics.
    5. Mohammed Abdellaoui & Olivier l'Haridon & Corina Paraschiv, 2013. "Do Couples Discount Future Consequences Less than Individuals?," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201320, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
    6. Gonzalez Ramirez, M. Jimena & Meriggi, Niccolo, 2016. "A Study of Intra-household and Gender Differences in Risk Preferences and Their Effect on Household Investment Decisions in Rural Cameroon," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 236078, Agricultural and Applied Economics Association.
    7. Asiedu, Edward & Ibanez, Marcela, 2014. "The weaker sex? Gender differences in punishment across Matrilineal and Patriarchal Societies," Discussion Papers 165743, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    8. Yang, Xiaojun & Carlsson, Fredrik, 2016. "Influence and choice shifts in households: An experimental investigation," Journal of Economic Psychology, Elsevier, vol. 53(C), pages 54-66.
    9. Alem, Yonas & Hassen, Sied & Köhlin, Gunnar, 2018. "Decision-making within the Household: The Role of Autonomy and Differences in Preferences," Working Papers in Economics 724, University of Gothenburg, Department of Economics.
    10. repec:kap:reveho:v:15:y:2017:i:3:d:10.1007_s11150-016-9342-0 is not listed on IDEAS
    11. Selamah Yusof, 2015. "Household Decision-Making in Malaysia: The Ethnic Dimension," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(1), pages 283-293, October.

    More about this item

    Keywords

    Household decision making; Risk; Experiment in the field; China; C91; C92; C93; D10;

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D10 - Microeconomics - - Household Behavior - - - General

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