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This paper tests how subjects behave in an intertemporal consumption/saving experiment when borrowing is allowed and …
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average. Taken together, the results support the view that ambiguity is an important and distinct argument in decision making …
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the one hand, and Ross (1981) on the other hand. The implications for two standard financial decision problems, namely the … widely-applied spectral Arrow-Pratt-measure is not a consistent measure of Arrow-Pratt-risk aversion. A decision maker with a … decision maker with a smaller spectral Arrow-Pratt-measure. We further show how a proper measure of Arrow-Pratt-risk aversion …
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