Hartog, Joop; Ferrer-i-Carbonell, Ada; Jonker, Nicole - CESifo - 2000
We ask individuals for their reservation price of a specified lottery and deduce their Arrow-Pratt measure of risk aversion. This allows direct testing of common hy-poth-eses on risk atti-tudes in three datasets. We find that risk aversion indeed falls with income and wealth. Entre-preneurs are...