Securities Market Participation of Korean Households: An Analysis of Intergenerational Differences

다국어 초록 (Multilingual Abstract)

We examine whether intergenerational differences exist in Korean households’ participation in the securities market after controlling for various factors that influence household financial decisions. To identify cohort effects from age and time effects, we follow previous literature and use economic conditions experienced by household heads in the past as proxies for cohort effects. Our regression analyses show that the real per capita growth rate experienced by household heads has a small but statistically significant effect on participation. Cohort effects are also driven by an increase in the number of highly educated individuals within a generation.

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