Original
Variance risk, downside risk, and tail risk: comparing risk behaviours among public and private sector employees
Abstract
This study examines behavioural differences in risk aversion (variance risk), prudence (downside risk), and temperance (tail risk) between public and private sector employees, employing higher-order risk preference theory. Using two monetary-incentivized behavioural tasks (Multiple Price List and Deck-Schlesinger Lottery) with 1000 participants in Japan, we compare risk behaviours across sectors. Results demonstrate that public employees exhibit significantly higher temperance after accounting for individual-level covariates, indicating stronger aversion to extreme outcomes. Sectoral differences in risk aversion and prudence become insignificant once public service motivation is controlled. These findings highlight the importance of distinguishing multiple risk dimensions in sectoral comparisons.
中文
方差风险、下行风险与尾部风险：公共部门与私营部门雇员风险行为之比较
摘要
本研究运用高阶风险偏好理论，考察公共部门与私营部门雇员在风险厌恶（方差风险）、审慎（下行风险）和节制（尾部风险）方面的行为差异。我们使用两项货币激励行为任务（多重价格列表和Deck-Schlesinger彩票），以日本1000名参与者为样本，比较不同部门的风险行为。结果表明，在控制个体层面协变量后，公共部门雇员表现出显著更高的节制，表明其对极端结果的厌恶更强。一旦控制公共服务动机，风险厌恶和审慎方面的部门差异变得不显著。这些发现凸显了在部门比较中区分多个风险维度的重要性。
关键词
方差风险、下行风险、尾部风险、风险厌恶、审慎、节制、公共服务动机、公共部门与私营部门