Prosociality and Risk Preferences in the Financial Sector
February 12, 2020 12:30 - 13:30
Conference Room 33002c nnDIW BerlinRoom 3.3.002cMohrenstraße 5810117 Berlin
Max Deter, University of Wuppertal
Using large-scale data from the German Socio-Economic Panel (SOEP), this paper finds that financial professionals have a lower prosociality and riskier behavior than a control group. I interpret these findings using the person-organization fit theory, and thus, the compatibility between the employee's personality and the prevailing culture in their organization. The financial sector attracts rather than socializes riskier and less prosocial professionals. These attitudes are associated with behavioral consequences, and are mainly driven by male professionals in lower management.