degree of pessimism of the representative agent is the mean of the individual ones weighted by their index of absolute risk …

We report a controlled laboratory experiment examining risk-taking and information aggregation in groups facing a … common risk. The experiment allows us to examine how subjects respond to new information, in the form of both privately …

We report an experiment examining risk taking and information aggregation in groups. Group members come to the table … with an individual preference for a choice under risk, based on privately received information, and can share this … information with fellow group members. They then make a decision under risk on behalf of the group using a random dictatorship …

degree of pessimism of the representative agent is the mean of the individual ones weighted by their index of absolute risk …

We analyze efficient risk-sharing arrangements when the value from deviating is determined endogenously by another risk … sharing arrangement. Coalitions form to insure against idiosyncratic income risk. Self-enforcing contracts for both the … facilitates the initial formation of coalitions, the extent of risk sharing in successfully formed coalitions is declining in the …