The value at risk measure attempts to summarize in a single number market value risk of a portfolio of financial assets …

uncertainty. The firm faces additional sources of uncertainty that are aggregated into a background risk. We show that the firm …. -- Background risk ; Capital structure ; Price uncertainty … always chooses its optimal debt-equity ratio to minimize the weighted average cost of capital, irrespective of the risk …

. -- Prospect theory ; mean-variance model ; indifference curve ; price uncertainty ; hedging …The prospect theory is one of the most popular decision-making theories. It is based on the S-shaped utility function …, unlike the von Neumann and Morgenstern (NM) theory, which is based on the concave utility function. The S-shape brings in …

Our study examines the behavior of a risk-averse investor who faces two sources of uncertainty: a random asset price … and inflation risk. Both sources of uncertainty make it difficult to stabilize consumption over time. However, investors … can enter risk-sharing markets, such as futures markets, to manage these risks. We develop a dynamic risk management model …

transparency is of central importance in the agri-food system as it affects the degree of uncertainty farmers face when taking … economic decisions. In our study, we endogenize uncertainty by establishing a link between market transparency and the terms of …

general view of constant relative risk aversion to investigate on different equivalence relations. Then we compare our results …

impact of economic risk and risk preferences upon regional allocation of investments. The source of risk stems from the … upon the firms' risk preferences. As a result regional agglomeration of investments may occur although the objective of the … elasticity of risk aversion. Elements of risk preferences beyond risk aversion prove to be very important to evaluate regional …

The paper studies an duopoly with risk averse firms exposed to demand uncertainty. A risk sharing market is introduced …