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Recent theoretical work in the economics of climate change has suggested that climate policy is highly sensitive to "fat-tailed" risks of catastrophic outcomes (Weitzman, 2009b). Such risks are suggested to be an inevitable consequence of scientific uncertainty about the effects of increased...
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It is shown how to test revealed preference data on choices under uncertainty for consistency with first and second order stochastic dominance (FSD or SSD). The axiom derived for SSD is a necessary and sufficient condition for risk aversion. If an investor is risk averse, stochastic dominance...
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experimentally why, and under which conditions, leaders resort to such decisions. In our experiment, teams are presented with several …
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For our experiment on corruption, we designed a coordination game to model the influence of risk attitudes, beliefs …
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Using a field experiment in China, we study whether migration status is correlated with attitudes toward risk …
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