Yuneng Xu’s research while affiliated with Tongji University and other places

Low household risk market participation has been a problem for a long time in China, this study explores the issue of Chinese household asset allocation from the perspective of mobile payment. Based on China Household Finance Survey data in 2017, this research studies the impact of mobile payment on Chinese household stock market participation and risk participation by using Probit model. Tobit and OLS model are used to analyze the impact of mobile payment on Chinese household risky asset allocation and the types of risky asset Chinese families hold. To reduce endogeneity caused by omitted variables and measurement errors, this study uses Instrumental Variable to make the estimation. The empirical results indicate that mobile payment can promote household stock market and risk participation by improving social interaction, social trust and financial literacy. Area heterogeneity analysis shows that mobile payment has a greater impact on eastern, first, second and third tier, and urban areas. Additionally, heterogeneity of family characteristics shows that mobile payment is more effective for highly educated households. This study provides a new perspective to conduct research on investment problems in China, and has extremely strong practical significance.