Children of risk-averse parents have lower test scores and are 1.34 percentage points less likely to attend college than offspring of parents with more tolerant attitudes toward risk, says a team led by Sarah Brown of the University of Sheffield in the UK. Aversion to risk may prevent parents from making inherently uncertain investments in their children's human capital; it's also possible that risk attitudes reflect cognitive ability, the researchers say.
Read more in Wiley.
Read more in Wiley.
