As in any research field, risk theory has its important questions, results, and paradoxes, as well as its seminal … papers and key authors. Louis Eeckhoudt has been a key author in the field of risk theory. To celebrate his many … contributions and continue the development of theories of decision making under risk, the Toulouse School of Economics hosted “Risk …

The economic theory of decision making under risk has seen remarkable advances over the 50 years since Pratt’s (1964 …) characterization of risk aversion under expected utility. We review developments in three key areas to which Louis Eeckhoudt has made … significant contributions: (1) increases in risk and risk taking; (2) self-protection and risk aversion; and (3) higher (and lower …

The presence of background risk increases self-protection effort or caution as long as an agent is prudent. In addition …

We show that there is a class of risk lovers who optimally choose a positive level of self-protection investment. In … most cases, a risk lover increases his self-protection investment as he becomes less downside risk averse. …

Define the riskiness of a gamble as the reciprocal of the absolute risk aversion (ARA) of an individual with constant … “duality” axiom which, roughly speaking, asserts that less risk-averse individuals accept riskier gambles. The index is …

the expected value of a lottery to the latter, so they are weakly risk averse. Besides explaining behavioral … irregularities like the expected utility paradoxes of Allais and Rabin, CT also separates risk attitude in the strong sense from … attitude towards wealth. Risk attitude is completely determined by the curvature of vuand is independent of the value function …

discounting under a disentanglement of risk aversion from aversion to intertemporal substitution. The paper characterizes the … relates different results in the literature by switching between different risk measures. It presents a parametric extension …