across the countries, as well as the risk-averse behavior of investors, into account, reveals different impacts of taxation …

We study a commons problem under uncertainty, where individual actions affect the risk of a future damage event. We … show that for risk-averse agents, an extra risk on the amount of the damage induces more precautionary actions in Nash … equilibrium. Similarly, for prudent agents an extra risk in all states of the world induces more precautionary actions in Nash …