The Impact Of Income Gap On Family Risk Financial Asset Allocation

With the improvement of the financial market,the range and depth of Chinese residents' participation in the risk financial market investment have increased,and the structure of household risk financial assets has also changed.Existing studies have studied the influencing factors of household risk financial asset allocation from multiple aspects such as assets and income,but as the research progresses,more influencing factors have been explored.This article further studies the influence of relative income to household risk financial assets.In order to accurately grasp the impact of income on household risk financial asset allocation,on the basis of absolute income affecting household risk financial asset allocation,this paper studies the impact of income gap on household risk financial asset allocation based on behavioral asset allocation theory,and discusses its impact,including the mediating effects of well-being and social interaction moderating effects.Firstly,the income gap affects the happiness of residents through relative deprivation,and the expansion of the income gap will reduce the happiness of residents;secondly,the reduction of residents' happiness will prompt residents to take risks to participate in the allocation of risk financial assets,thereby promoting the breadth of family risk financial asset allocation and In-depth improvement;Finally,due to the widening income gap and relative wealth concerns,social interaction variables may have a moderating effect.In terms of empirical models,the empirical evidence in this article is divided into four parts.The Probit model is used to test the impact of income gap on the breadth of family risk financial assets,and the IVProbit model is used to test the robustness of the model.Then,the mediation effect test is used to test the mediation effect of happiness.As well as the moderating effect of social interaction,the heterogeneity of the impact of income gaps on the allocation of household risk financial assets is tested in terms of the region in which the family is located,whether it is located in the countryside,and the income stratification.In terms of empirical results,this article uses the CHFS database and empirically finds that the widening income gap has promoted the enthusiasm of families to participate in the allocation of risk financial assets,and has been affected by the irrational behavior of subjective well-being.The widening income gap has reduced residents' happiness,which prompts residents to take risks to participate in the allocation of risk financial assets,and in regions with higher levels of social interaction,the income gap has a more obvious impact on household risk financial asset allocation,but social interaction only has a moderating effect on the direct effect,and has no effect on the intermediary effect.This paper also conducted a heterogeneity test on the impact of income gap on household risk financial asset allocation.The test found that the income gap of western,middle-income,and urban households has a more significant impact on household risk financial asset allocation.Combined with the empirical results of this article,this article believes that while further developing our financial system,we must not only focus on the effects of financial policies,but also the impact of people's livelihood policies,including reducing the income gap.