Risk aversion and religion

Charles N. Noussair, Stefan T. Trautmann, Gijs van de Kuilen, Nathanael Vellekoop

Research output: Contribution to journalArticlepeer-review

127 Scopus citations

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.

Original languageEnglish (US)
Pages (from-to)165-183
Number of pages19
JournalJournal of Risk and Uncertainty
Volume47
Issue number2
DOIs
StatePublished - Oct 2013
Externally publishedYes

Keywords

  • Catholicism
  • Protestantism
  • Religion
  • Risk aversion

ASJC Scopus subject areas

  • Accounting
  • Finance
  • Economics and Econometrics

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