Crainich, David; Eeckhoudt, Louis; Trannoy, Alain - In: American Economic Review 103 (2013) 4, pp. 1529-35
The purpose of this note is to analyze properties of the risk lovers? utility function beyond the positive sign of its second order derivative. We show that??contrarily to a priori beliefs??risk lovers are prudent and are willing to accumulate precautionary savings.