Digital Finance, Household Income and Household Risky Financial Asset Investment

This paper uses the Peking University Digital Financial Inclusion Index as an indicator to measure the degree of digital finance development, and examines the impact of digital finance on the investment behavior of Chinese households in risk finance assets. The paper found that digital finance will not only promote more residents to invest in risk finance assets, but also increase the proportion of households that have invested in risk finance assets. Heterogeneity analysis shows that this impact mainly exists in urban households, high-income households, and households in the eastern region. Mechanism analysis shows that digital finance can stimulate households to participate in risk finance assets investment by increasing household income.