In this paper we propose the infimum of the Arrow-Pratt index of absolute risk aversion as a measure of global risk aversion of a utility function. We then show that, for any given arbitrary pair of distributions, there exists a threshold level of global risk aversion such that all increasing...

We present a model in which an individual's sentiments towards others are determined endogenously on the basis of how they perform relative to the societal average. This, in turn, affects the individual's own behavior and hence other agents' sentiments toward her. We focus on stationary patterns...

In this short paper, we ask the following question: Why is lobbying so endemic in societies? Put another way, might it not be possible to design a social decision rule that assigns to each group its equilibrium probability of success, and sidestep the inefficient waste of resources that results...