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Digital economy, risk attitudes, and entrepreneurial decision-making in urban and rural households in China

Author

Listed:
  • Xiong, Wei
  • Jiang, Mengzhen
  • Liu, Yingying

Abstract

Using data from the 2019 China Household Finance Survey, this study examines how the digital economy and household risk attitudes affect entrepreneurial decision-making in urban and rural Chinese households. Risk-taking families are more likely to become entrepreneurs, particularly in economically developed eastern regions. Furthermore, integrating the digital economy boosts entrepreneurial activities within households, especially in the central and western regions. Based on these findings, the government and relevant institutions should strengthen digital infrastructure in the central and western regions, as well as establish an evaluation and monitoring mechanism to ensure the effectiveness of policy measures to promote balanced economic development and sustainable growth in household entrepreneurial activity.

Suggested Citation

  • Xiong, Wei & Jiang, Mengzhen & Liu, Yingying, 2024. "Digital economy, risk attitudes, and entrepreneurial decision-making in urban and rural households in China," International Review of Financial Analysis, Elsevier, vol. 96(PA).
  • Handle: RePEc:eee:finana:v:96:y:2024:i:pa:s1057521924005866
    DOI: 10.1016/j.irfa.2024.103654
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