Van Koten, Silvester; Ortmann, Andreas; Babicky, Vitezslav - In: Games 4 (2013) 2, pp. 208-242
The relationship between risk in the environment, risk aversion and inequality aversion is not well understood … with varying degrees of risk (“endowment risk”) influence individual behavior. We derive theoretical predictions for these … games using utility functions that capture additively separable constant relative risk aversion and inequity aversion. We …
