Student loan debt and U.S. married households’ stock investment decisions
DOI:
https://doi.org/10.58567/eal02040003Keywords:
Student loan debt; stock ownership; married households; stock investments; Panel Study of Income DynamicsAbstract
This study aims to examine the effects of student loan debt on the decisions of U.S. married households to invest in stocks located in non-retirement accounts. Using longitudinal datasets from the 2011 to 2017 U.S. Panel Study of Income Dynamics and a fixed effects logit model, the results show mixed findings. The presence of student debt decreases the probability that married households will own stocks, but the amount of student debt does not show a statistically significant effect. The findings suggest that the incidence of student debt raises the perception of liquidity constraints and debt burden among married households.
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