Financial market participation, household asset choices, and resident well-being: An empirical analysis of China family panel studies data

Abstract

As a fundamental unit of economic society, family participation is crucial for promoting financial market development and social progress. This study empirically tested the impact of residents’ household financial market participation on their well-being using Chinese micro-household data. The findings show that residents’ participation in financial markets can significantly enhance their well-being. The choice of household assets played a significant positive moderating role in financial market participation on residents’ well-being. Further analysis indicates that marketization and urban residency positively mediated the effects of financial market participation on residents’ well-being.