Showing 1 - 10 of 2,170
We study the relative risk aversion of an individual with particular social preferences: his wellbeing is influenced by …, the individual becomes more risk averse when he rises in the wealth hierarchy. Second, if the individual's level of … intensification is strong enough, then the individual becomes less risk averse: the individual's desire to advance further in the …
Persistent link: https://www.econbiz.de/10012867983
stronger distaste for low relative wealth translates into reduced relative risk aversion and, consequently, into riskier … prone to divorce exhibit risk-taking behavior that is more similar to that of single men than married men in environments …
Persistent link: https://www.econbiz.de/10012864857
This paper presents the Bomb Risk Elicitation Task (BRET), an intuitive procedure aimed at measuring risk attitudes … truncation of the data, allows to precisely estimate both risk aversion and risk seeking, and is not affected by the degree of … gap that often characterizes choices under uncertainty by means of a higher loss rather than risk aversion …
Persistent link: https://www.econbiz.de/10013103490
We looked at risk and ambiguity attitudes among Ethiopian peasants in one of the poorest regions of the world and … compared their attitudes to a standard Western university student sample elicited by the same decision task. Strong risk … students, but peasants were more risk averse. Testing for the effect of socio-economic variables on uncertainty attitudes …
Persistent link: https://www.econbiz.de/10013095831
We consider an economy where individuals privately choose effort and trade competitively priced securities that pay off with effort-determined probability. We show that if insurance against a negative shock is sufficiently incomplete, then standard functional form restrictions ensure that...
Persistent link: https://www.econbiz.de/10013071425
Stated survey measures of risk preferences are increasingly being used in the literature, and they have been compared … to revealed risk aversion primarily by means of experiments such as lottery choice tasks. In this paper, we investigate … educational choice, which involves the comparison of risky future income paths and therefore depends on risk and time preferences …
Persistent link: https://www.econbiz.de/10013058322
measured risk attitudes and their consequences for migration. We also investigate whether substantial changes in the risk … environment influences risk tolerance. Using the 2009 RUMiC data for China, we find that rural-urban migrants and their family … members are substantially less risk-averse than stayers. We further provide evidence that individual risk attitudes are …
Persistent link: https://www.econbiz.de/10013014733
-and-after data from hospital wards. We test for the causal effects of learning child gender upon people's degree of risk … twice as risk-averse as parents of sons. The study demonstrates this in longitudinal ('switching') data and cross …
Persistent link: https://www.econbiz.de/10012957502
take risk as measured by the general risk question. We demonstrate that this disposition, which we call risk conception, is … strongly associated with optimism, a stable facet of personality and that it predicts real-life risk taking. The general risk … question captures this disposition alongside pure risk preference. This enlightens why the general risk question is a better …
Persistent link: https://www.econbiz.de/10012915178
We present a new theory of wage adjustment, based on worker loss aversion. In line with prospect theory, the workers' perceived utility losses from wage decreases are weighted more heavily than the perceived utility gains from wage increases of equal magnitude. Wage changes are evaluated...
Persistent link: https://www.econbiz.de/10013031191