• my.IAER | Email | OA | VR
  • Home (current)
  • About Us
    Letter from the Director Job Openings Contact Us
  • People
    Faculty Staff
  • News
  • Study with Us
    Combined Master/Ph.D. Program Honors Program in Economics
  • Academics
    Conferences Workshops Seminars Short Courses Summer Schools Publications Working Papers 线上书院
  • Student Center
    学生活动 规章制度 研究生社团 下载中心
  • my.IAER Email OA VR
  1. HOME
  2.  » 
  3. Academics
  4.  » 
  5. Publications
  • Conferences
  • Workshops
  • Seminars
  • Short Courses
  • Summer Schools
  • Publications
  • Working Papers
  • 线上书院
  • Air Pollution and Household Stock Market Participation



    20190717134635.jpg

    Hongwu Gan, Mengmeng Guo,Jian Li, Geng Niu, Yang Zhou

     

    Published : March 2025

     

    URL to this Article: https://www.sciencedirect.com/science/article/pii/S0378426625000184?via%3Dihub=#abs0001

     

    Abstract

    We investigate whether air pollution affects household stock market participation. Using representative household survey data in China, we find that households significantly reduce their financial risk taking when exposed to heavy air pollution. This finding is robust to an instrumental variable analysis and a regression discontinuity test based on the Huai River policy. To explore the underlying mechanisms, we find that air pollution significantly impairs health, increases unemployment risk, impedes cognitive performance, and dampens mood. We further show that these channels explain a non-trivial proportion of the relationship between air pollution and stock market participation. Our study sheds light on the far-reaching influence of air pollution on households' well-being from the perspective of portfolio choice.


    Keywords

    Air pollution; 
    Stock market participation; 
    Health risk; 
    Unemployment risk; 
    Cognitive ability; 
    Mood


foot_logo

Tel:+86-411-84713552      

Fax:+86-411-84713552 

Email:iaer@dufe.edu.cn 

Address:217 Jianshan Street, Dalian, Liaoning 116025, the People's Republic of China  

Copyright © 2019 Institute for Advanced Economic Research, Dongbei University of Finance & Economics

网站声明  |  东北财经大学网络不良信息举报电话:0411-84710133 举报邮箱:advice@dufe.edu.cn