A Study on the Impact of Education Level on Household Financial Assets Investment Behavior

Abstract

Based on the data of Chinese Household Income Project Survey (CHIP), this paper comprehensively examines the impact of education level on the investment behavior of four types of household financial assets, namely, savings assets, bond assets, fund assets and stock assets, through Logit and Tobit models. The results show that: (1) the higher education level of the head of households, the smaller the possibility of participating in bond assets investment; the higher education level of the head of households are more likely to participate in savings assets, fund assets and stock assets investment, and have greater impact on the holding proportion of savings assets, fund assets and stock assets. (2)The head of households with secondary education level are more likely to participate in bond assets investment, and have a greater impact on the holding proportion of bond assets; The head of households with high education level are more likely to participate in stock assets investment, and have a greater impact on the holding proportion of stock assets. (3) Residents' subjective well-being, physical health, household disposable income, household living consumption expenditure, credit constraints and social trust also have significant impact on various types of household financial assets. The conclusion of the study has some implications for further optimizing the allocation of household financial assets.