Research On The Influence Of Social Network Strength On Family Asset Allocation

The phenomenon of "limited participation" in risky financial assets in household asset allocation has always been one of the hotspots in household finance research.Scholars at home and abroad have discussed this phenomenon from various aspects such as wealth level,financial knowledge,and health status.Among them,social network as an informal system will have an important impact on family economic behavior,and China is a typical relational society.Therefore,this article will discuss the impact of the strong and weak ties of social network on household asset allocation based on social network theory.This article first sorts out the previous literature on household asset allocation,and discusses the impact mechanism of social network strong and weak ties on household asset allocation.Among them,strong ties are mainly affected by mutual funding mechanisms,while weak ties are mainly affected by information acquisition mechanisms.Then analyzes the current situation of Chinese household assets,and finds that real estate is the most important component of current household assets,while risk financial assets account for a relatively low proportion,and strong and weak ties have different impacts on household asset allocation in a statistical sense.Then further empirical analysis,selecting the 2015 China Household Finance Survey data,the number of main users,siblings and household power comprehensive coefficient as the proxy variables of the strong and weak ties,using real estate and risk financial assets as the object,using Probit and Tobit model to Empirical research on the impact of strong and weak ties on household asset allocation.Considering that there may be endogenousness,this article uses the number of siblings of other heads of households other than this outdoor community as a strong relationship tool variable,and uses the comprehensive power of households other than this outdoor community Coefficients are used as weakly correlated tool variables,and the results are basically the same after two-stage regression.The results show that the weak ties has a positive impact on the holding and holding ratio of real estate and risky financial assets;the strong ties has a positive effect on the holding of real estate and does not have a significant impact on the holding ratio;Both the holding and the holding ratio are negative.Further,this article verifies the information acquisition mechanism for weak ties,and uses equity market participation and fund market participation to represent risk financial market participation.As a result,it is found that information helps families to allocate risky financial assets;it also conducts strong mutual fund mutual assistance After verification,it was found that mutual funding increased the possibility for members to purchase the first home,but reduced thepossibility for members to allocate risky financial assets.This is because mutual funding actually changed the overall assets of the network and changed the asset structure.Behavior,the law of structural change is to switch from lower priority assets to higher priority assets.Finally,the article proposes to control housing prices based on the strong ties mutual fund assistance mechanism,the weak ties based information acquisition mechanism proposes to strengthen financial product community publicity,and encourage financial institutions to innovate and improve family wealth level policy recommendations to promote diversified family asset allocation Change.