consumers, an upstream firm posts public bilateral contracts. When downstream firms are risk-neutral without wealth constraints …, the upstream firm offers the input to all retailers. When they are sufficiently risk averse it sells to one, thereby … eliminating externalities among downstream firms that necessitate the payment of risk premia. By similar reasoning exclusion is …

Recent empirical work suggests a strong connection between the incentives money managers are offered and their risk … riskiness of the portfolio. This represents a departure from the existing literature on agency theory in that moral hazard is … not only effort exertion but also risk taking behavior. The moral hazard problem with risk taking involves an incentive …

voting decisions. Thus, risk neutral individuals exhibit what we call political risk aversion. Yet individual uncertainty is …