IDEAS home Printed from https://ideas.repec.org/p/lmu/muenar/78255.html

Risk aversion, patience and intelligence: Evidence based on macro data

Author

Listed:
  • Potrafke, Niklas

Abstract

Using the new macro data on risk aversion and patience by Falk et al. (2018). I show that risk aversion and patience are related to intelligence: high-1Q, populations are more patient and more risk averse than low-IQ populations. The correlation between patience and intelligence corroborates previous results based on micro data. Intelligent people tend to be patient because they have long time horizons. The correlation between risk aversion and intelligence supports new micro data studies based on dynamically optimized sequential experimentation (Chapman et al. 2018). (C) 2019 Elsevier B.V. All rights reserved.

Suggested Citation

  • Potrafke, Niklas, 2019. "Risk aversion, patience and intelligence: Evidence based on macro data," Munich Reprints in Economics 78255, University of Munich, Department of Economics.
    • Handle: RePEc:lmu:muenar:78255
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Peter John Robinson & W. J. Wouter Botzen, 2022. "Setting descriptive norm nudges to promote demand for insurance against increasing climate change risk," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 47(1), pages 27-49, January.
    2. Brun, Martín & D'Ambrosio, Conchita & Ferrer-i-Carbonell, Ada & Ramos, Xavier, 2023. "After You. Cognition and Health-Distribution Preferences," IZA Discussion Papers 16126, Institute of Labor Economics (IZA).
    3. Nicolas Eber & Patrick Roger & Tristan Roger, 2024. "Finance and intelligence: An overview of the literature," Journal of Economic Surveys, Wiley Blackwell, vol. 38(2), pages 503-554, April.
    4. Davoli, Maddalena & Rodríguez-Planas, Núria, 2021. "Preferences, Financial Literacy, and Economic Development," IZA Discussion Papers 14759, Institute of Labor Economics (IZA).
    5. repec:eur:ejserj:580 is not listed on IDEAS
    6. Inhwa Kim & Keith J. Gamble, 2022. "Too much or too little information: how unknown uncertainty fuels time inconsistency," SN Business & Economics, Springer, vol. 2(2), pages 1-33, February.
    7. Aronsson, Thomas & Hetschko, Clemens & Schöb, Ronnie, 2020. "Globalization, Time-Preferences, and Populist Voting," Umeå Economic Studies 978, Umeå University, Department of Economics.
    8. Aronsson, Thomas & Hetschko, Clemens & Schöb, Ronnie, 2023. "Populism and Impatience," Umeå Economic Studies 1019, Umeå University, Department of Economics.
    9. Mohammad Reza Farzanegan, 2020. "Cognitive ability and corruption: rule of law (still) matters," Empirical Economics, Springer, vol. 59(4), pages 1723-1743, October.

    More about this item

    JEL classification:

    • D0 - Microeconomics - - General
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • D9 - Microeconomics - - Micro-Based Behavioral Economics

    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:lmu:muenar:78255. 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: Tamilla Benkelberg (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    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.