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Risk aversion and religion

Author

Listed:
  • Charles Noussair
  • Stefan Trautmann
  • Gijs Kuilen
  • Nathanael Vellekoop

Abstract

We use a dataset for a demographically representative sample of the Dutch population that contains a revealed preference risk attitude measure, as well as detailed information about participants’ religious background, to study three issues. First, we find strong confirmatory evidence that more religious people, as measured by church membership or attendance, are more risk averse with regard to financial risks. Second, we obtain some evidence that Protestants are more risk averse than Catholics in such tasks. Third, our data suggest that the link between risk aversion and religion is driven by social aspects of church membership, rather than by religious beliefs themselves. Copyright Springer Science+Business Media New York 2013

Suggested Citation

  • Charles Noussair & Stefan Trautmann & Gijs Kuilen & Nathanael Vellekoop, 2013. "Risk aversion and religion," Journal of Risk and Uncertainty, Springer, vol. 47(2), pages 165-183, October.
  • Handle: RePEc:kap:jrisku:v:47:y:2013:i:2:p:165-183
    DOI: 10.1007/s11166-013-9174-8
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    More about this item

    Keywords

    Risk aversion; Religion; Catholicism; Protestantism; C91; C93; D81; Z12;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion

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