and on the literature of imperfectly divisible consumption to argue that the general purpose of insurance is not a risk … transfer, but meeting a conditional need. In this way, insurance aligns the risk in one's ftnancial endowment with the risk in …I revisit the question of which motive underlies insurance demand. I draw on the literature of state-dependent utility …

standard approach that bases insurance demand on risk aversion with important implications for policy and research. … nature. The existence of such state-dependent indivisible consumption opportunities influences a person's risk attitudes. In … general, people are not risk averse anymore even if utility from divisible consumption is concave. I propose a definition of …

Higher order risk preferences are well-known for their relation with precautionary saving or portfolio allocation … measures of higher order risk preferences with field behavior. Field behavior is collected in an extensive survey, where we … focus on general risk taking, the environmental and the health domain, particularly on addictive behavior. Using a novel …

mistakes. We develop a quantitative theory of unsecured credit and equilibrium default in a market with sophisticated and naïve …