Work

Implication of stigmatization on investors financial risk tolerance: The case of gay men

Year: 2021

Type: article

Abstract: This study evaluates whether the salience of discrimination and perceived stigmatization influence gay men’s financial risk tolerance (FRT). This evaluation is conducted using the FRT measure of Grable and Lytton (1999), a “two-study ruse” approach and a hierarchical linear regression model. The findings show that individuals with anticipated stigmatization, after being exposed to information about bias against their community, exhibited greater FRT. These results support the hypothesis that risk-taking behavior by members of stigmatized populations increases when they experience discrimination.

Source: Journal of Behavioral and Experimental Finance

DOI: 10.1016/j.jbef.2021.100513

Authors: Francisca M. Beer, Joseph D. Wellman

Institutions: California State University, San Bernardino, University of Mississippi

Language: English

Topic: Decision-Making and Behavioral Economics

Subfield: General Decision Sciences

Field: Decision Sciences

Domain: Social Sciences

SDG: Reduced inequalities

Open Access status: hybrid

Estimated APC paid: $2,230