CLASSIFICATION OF RISK PREFERENCES WITH ELICITED UTILITY DATA: DOES FUNCTIONAL FORM MATTER?

Recently, several problems with elicited utility functions have emerged. This paper concerns a fundamental problem in risk preference classification with elicited data. For the sample in this research, different functional forms resulted in reversals in preference classifications. This paper suggests that preference classifications must be interpreted with caution.

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Year of publication:	1984
Authors:	Musser, Wesley N. ; Wetzstein, Michael E. ; Reece, Susan Y. ; Musser, Lynn M. ; Varca, Philip E. ; Chou, Charlene C.J.
Published in:	Western Journal of Agricultural Economics. - Western Agricultural Economics Association - WAEA. - Vol. 09.1984, 02
Publisher:	Western Agricultural Economics Association - WAEA
Subject:	Research Methods/ Statistical Methods

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Extent:	application/pdf
Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005804185