Knowledge and Preference in Reporting Financial Information

TitleKnowledge and Preference in Reporting Financial Information
Publication TypeReport
Year of Publication2005
AuthorsCao, H, Hill, DH
Series TitleMichigan Retirement Research Center Publication
InstitutionMichigan Retirement Research Center, University of Michigan
CityAnn Arbor, MI
Call Numberwp_2005/MRRCwp100.pdf

This article models respondent behavior in a financial survey with a framework explicitly integrating a respondent s knowledge of and willingness to reveal his or her financial status. Whether a respondent provides a valid answer, a don t know , or a refusal to a financial question depends on the interaction of his or her financial knowledge and preferences regarding revealing the knowledge. Using asset response and nonresponse data from the Health and Retirement Study (2000), we found that knowledge and preferences play interrelated roles in reporting financial information, that a respondent s age, gender, education, and race and ethnicity are important predictors of respondent behavior, and that race and ethnicity affect a respondent behavior only via their influence on preferences, while gender only via its influence on knowledge. We also found strong heterogeneity in respondents financial knowledge and their willingness to reveal the knowledge.

Endnote Keywords

item nonreponse/Methodology

Endnote ID


Citation Key5636