the upward sloping portion of the supply of credit, where the risk premium is positive, and very little cyclical patterns …

Developing countries use various risk reduction schemes, ranging from active management of buffer stocks and … generalized expected utility maximization model where agents are disappointment averse. We derive first the generalized risk … premium, showing that disappointment aversion increases the conventional risk premium by a term proportional to the standard …

This paper examines the extent to which permanent terms-of-trade shocks have an asymmetric effect on private savings … in bad states of nature, savings rates will respond asymmetrically to favorable movements in the permanent component of … standard determinants of private savings. The results, based on panel data for non-oil commodity exporters of sub …

weight on downside risk [as modeled by Gul (1991)]. Policy uncertainty is induced by the Disappointment aversion implies that …

continue to hold even if the coefficient of relative risk aversion approaches zero (that is, even if the marginal utility of … income is constant so that agents are risk neutral in the conventional sense) …

-averse entrepreneurs discount using a 'hurdle rate' that exceeds the risk-free interest rate. The gap between the two rates increases with …

next period. Theory suggests that the collection efficiency is impacted by political economy considerations greater … consistent with the theory - a one standard deviation increase in durability of political regime, and in the ease and fluidity of …

, inelastic demand for fiscal outlays, high tax collection costs and sovereign risk will want to accumulate international reserves …