How does the Inward Foreign Direct Investment Affect Households'Investment Decision in Risky Financial Assets?
How to increase the property income of urban and rural residents through more channels is a crucial issue in narrowing the wealth gap in China.Among them,allocating risky financial assets is an important means to alleviate wealth inequality while preserving and increasing household wealth.This paper uses the four rounds of China Household Fi-nance Survey(CHFS)database to explore the factors affecting household investment decision on risky financial assets based on the open economy perspective.The paper found that the Inward Foreign Direct Investment(IFDI)significantly promotes households'investment in risky financial assets,mainly through increasing household income levels,enhancing fi-nancial knowledge levels,and expanding the scale of social networks.At the same time,the roles of IFDI and mobile payments are mutually substitutable in terms of household par-ticipation in risky financial markets.The heterogeneity analysis indicates that the IFDI is conducive to promoting the holding of risky financial assets among households in urban ar-eas,those with higher educational attainment,good health status,those with offspring,and ownership of housing.This paper further expands the research boundaries of the impact of open economy on micro-individual decision-making,and also has important implications for China's deepening of opening-up,promoting household wealth appreciation,and achieving the goal of becoming a financial powerhouse.
Inward Foreign Direct InvestmentRisky Financial AssetsMobile Payment
NETL
NSTL
万方数据
