parameterizations much closer to 1/2 than to 0. Previous studies have argued that granting insurers market power may incentivize them to …

outcomes experienced during the game. Risk aversion decreases after earlier expectations have been shattered by unfavorable … outcomes or surpassed by favorable outcomes. Our results point to reference-dependent choice theories such as prospect theory …, and suggest that path-dependence is relevant, even when the choice problems are simple and well defined, and when large …

We show that if an agent is uncertain about the precise form of his utility function, his actual relative risk aversion … may depend on wealth even if he knows his utility function lies in the class of constant relative risk aversion (CRRA … their risk aversion parameter invest less in risky assets than wealthy investors with identical risk aversion uncertainty. …

This paper presents a new axiomatic characterization of risk measures that are additive for independent random … variables. In contrast to previous work, we include an axiom that guarantees monotonicity of the risk measure. Furthermore, the …. The risk measure characterized can be regarded as a mixed exponential premium. …

This experimental study is concerned with the impact of the timing of the resolution of risk onpeople's willingness to … inferred from decisions regarding hypothetical choiceproblems, we had participants put their own money at risk in a real … investment task. Moreover,emotions were explicitly measured, including anticipatory emotions experienced during the waitingperiod …

This paper applies the dichotomous theory of choice by Zou (2000a) tothe analysis of investmentstrategies and security … markets. Issues concerning individualoptimality, (approximate) arbitrage,capital market equilibrium, and Pareto efficiency are … studied undervarious market conditions. Among the main results area unique dichotomous pricing model,unifying and generalizing …

This paper investigates the contribution of private and public channels for consumption risk sharing in the EMU over … estimating how risk sharing has evolved since the start of the EMU, and in particular during the recent crisis. Our results … debt seem to be more effective than cross-border bank loans in isolating households from country-specific shocks, therefore …

variable is the particular decision stage at which a global risk is resolved: (i) before the investment decision; (ii) after … the investment decision, but before the resolution of the decision risk; (iii) after the resolution of the decision risk …From the viewpoint of the independence axiom of expected utility theory, an interesting empirical dynamic choice …

creating a link. However, the interplay of such uncertainty and risk attitudes has been neglected in the network formation …, incomplete information, and risk aversion. The model predicts that an agent's risk aversion is correlated with her network …

ordinary risk . We show that this leads to a class of centrality measures that is fully determined by the degrees (i.e. the …