Denuit, Michel M.; Eeckhoudt, Louis - In: Management Science 56 (2010) 4, pp. 712-715
Many results involving expected utility theory call upon the notions of absolute risk aversion, prudence, and/or temperance. This paper exploits a representation of the Friedman-Savage utility premium (Friedman, M., L. J. Savage. 1948. The utility analysis of choices involving risk. J. Political...