IDEAS home Printed from https://ideas.repec.org/a/taf/apeclt/v32y2025i12p1681-1689.html
   My bibliography  Save this article

The impact of economic policy uncertainty on insurance demand: the moderating effect of national culture

Author

Listed:
  • Yiming Lu
  • Yu Wang
  • Minglai Zhu

Abstract

We scrutinize the influence of economic policy uncertainty on the demand for insurance and delve into the moderating effect of national culture. Using an OLS model with two-way fixed effects, we find that heightened EPU engenders a decline in insurance demand, with discernible variances observed in the long-term and short-term effects on life and non-life insurance demand. Notably, uncertainty avoidance, power distance, and long-term orientation act as moderators, mitigating the adverse impact of EPU on insurance demand. Conversely, individualism exacerbates the negative consequences. Furthermore, our investigation uncovers that EPU primarily diminishes insurance demand by constraining residents’ income.

Suggested Citation

  • Yiming Lu & Yu Wang & Minglai Zhu, 2025. "The impact of economic policy uncertainty on insurance demand: the moderating effect of national culture," Applied Economics Letters, Taylor & Francis Journals, vol. 32(12), pages 1681-1689, July.
    • Handle: RePEc:taf:apeclt:v:32:y:2025:i:12:p:1681-1689
    DOI: 10.1080/13504851.2024.2311313
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/13504851.2024.2311313
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/13504851.2024.2311313?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apeclt:v:32:y:2025:i:12:p:1681-1689. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAEL20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.