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information that current underpin current models of risk pooling. A specially designed economic experiment involving 678 subjects … attempts to conduct such tests. I find that more extrinsic commitment is associated with more risk pooling, but that more … information is associated with less risk pooling.The first of these results accords with our expectations and assumptions …
Persistent link: https://www.econbiz.de/10005118664
The real options approach is used to explain discounted utility anomalies as artifacts of the optimizing behavior of an individual with standard preferences, who perceives the utility from consumption in the future as uncertain. For this ndividual, waiting is valuable because uncertainty is...
Persistent link: https://www.econbiz.de/10005135039
We explain essentially all known discounted utility anomalies as artefacts of the optimizing behavior of an individual with a time- separable utility function, who perceives a good as a source of a stochastic consumption stream, and believes that she can wait for an optimal moment to buy or sell...
Persistent link: https://www.econbiz.de/10005135046
Prescott (1985) economy by allowing investors’ coefficient of relative risk aversion to depend partly on their current feelings … potential loss. In an attempt to maintain their good mood, investors become less willing to bear any portfolio risk, i.e. they … become more risk averse. Extremely mild procyclical changes (a standard deviation of about one percentage point) in investors …
Persistent link: https://www.econbiz.de/10005077033
paper have been woven around the issues of perceived risk, perceived brand difference, association of brand name and … perceptions on brand name in reference to brand risk and brand differences have been the prime factors in making buying decision … feel high risk averse and entangle in decision making with perceived brand differences. …
Persistent link: https://www.econbiz.de/10005561847
of family farms and socialist-style farms in the presence of risk, given the typical post-socialist environment …
Persistent link: https://www.econbiz.de/10005555994
paradox, risk aversion and other well-known fundamental problems. For a long time, this opinion was a barrier to proper …
Persistent link: https://www.econbiz.de/10005560978
Ideal economics? A “non-ideal” economics approach has been proposed, which considers the possibility of arrangement infringements. It gives promises for both solving fundamental problems of economic theory and creation of new directions and fields of research. The approach application in...
Persistent link: https://www.econbiz.de/10005124942
A revolution in economics. Is it possible? Is its concept a transition from ideal to real economics? The way to the transition may be a new aspect of uncertainty. Problems, which can be solved, research fields, which can be augmented or created, and fields of applications in practical economy...
Persistent link: https://www.econbiz.de/10005126070
This paper studies poverty as a dynamic phenomenon, motivated by the recurring economic crises that affect developing countries and the incidence of income fluctuations on household welfare. While the increasing availability of household panel data has been exploited in theoretical analysis and...
Persistent link: https://www.econbiz.de/10005408367