Disability Type, Financial Capability, and Risky Asset Holding

Abstract

The purpose of this study is to examine whether disability type and financial capability are associated with risky asset holding of adults with disabilities. Using data from the 2015 National Financial Capability Study, we find that adults with different types of disabilities have different chances of holding risky assets. After controlling for financial capability and other variables in the logistical model, people with a work disability are still less likely to hold risky financial assets than the deaf (reference category). In addition, two financial capability variables, objective financial knowledge and desirable financial behavior, are positively associated with risky asset holding.

Keywords: Disability, Financial Capability, National Financial Capability Study, Risky Asset Holding

JEL Classification: G11, D14