The Effect Of Happiness On Family Venture Capital And Its Mechanism

How to adjust the way of family asset allocation effectively and make family financial asset investment rationalize and diversify is an urgent problem to be solved at present.As a result,behavioral finance,which focuses on studying individual investors’ cognitive biases and financial market anomalies,has emerged quietly and gradually become one of the mainstream schools in the field of financial research.This paper uses the data of China Household Financial Survey(CHFS)in 2019 based on Probit and Tobit models to explore the impact of SWB on household risky asset investment and stock market investment and analyze the mediating effect of risk aversion.Firstly,happiness will reduce the probability and degree of participation in risky asset investment and stock investment.Secondly,in this paper,through studying the intermediary effect of risk aversion will find happiness by raising families to reduce by the degree of risk aversion to participate in the possibility of risk assets investment and equity investment,but the intermediary effect of risk aversion is not completely intermediary effect,happiness can also directly by influencing the residents’ mood and attitude and influence its investment decisions;Finally,through heterogeneity analysis,it is found that the happiness of families with stable jobs,families in the Midwest and families with higher education has a greater impact on the investment of risky assets.Considering the endogeneity problem between happiness and household investment in risky assets and stocks,this paper introduces air quality index as an instrumental variable of happiness to conduct robustness test,and the results show that the above conclusion is robust and effective.According to the research results,while improving residents’ happiness,we should also improve people’s education level,increase the popularization of financial knowledge,realize the improvement of happiness and diversification of household asset allocation,and effectively increase residents’ property income.