Caballe, Jordi; Esteban, Joan Ma. - Departament d'Economia i Història Econòmica, … - 2002
In this paper we propose the infimum of the Arrow-Pratt index of absolute risk aversion as a measure of global risk … level of global risk aversion such that all increasing concave utility functions with at least as much global risk aversion … lower level of global risk aversion, we can find two utility functions in this class yielding opposite preference relations …