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Using the measure of risk aversion suggested by Kihlstrom and Mirman [Kihlstrom, R., Mirman, L., 1974. Risk aversion with many commodities. Journal of Economic Theory 8, 361-388; Kihlstrom, R., Mirman, L., 1981. Constant, increasing and decreasing risk aversion with many commodities. Review of...
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Under the assumption of complete markets, a fundamental result of competitive market analysis (whether for speculative or commodity markets) is that prices contain all information necessary for optimal decisionmaking by individual economic units. The role that prices play in disseminating...
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