Risk Preference and Religious Beliefs: A Case in China

Risk preference theory states that religiosity positively correlates with risk aversion. Based on data from the 2018 wave of the China Family Panel Studies (CFPS), this study tested risk preference theory in the Chinese mainland. A binary logistic regression model was used to empirically test the relationship between risk preference and religious belief. At the same time, a robustness test was carried out using the propensity score-matching method and other datasets, and multinomial logistic regression was conducted to explore the heterogeneity of the relationship between risk preference and religious belief. The results showed that risk-seeking people are more likely to have religious beliefs. The importance of the study lies in the extension of risk preference theory to consideration of religious regulations.