de Brauw, Alan; Eozenou, Patrick - International Food Policy Research Institute (IFPRI) - 2011
follow the constant relative risk aversion (CRRA) utility function and whether farmers follow expected utility theory or rank … the CRRA utility function in favor of the more flexible power risk aversion preferences. In a mixture model, we find that … the common CRRA assumption in our sample, we poorly predict risk preferences among those who are less risk averse. …