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analyzed within the framework of statistical decision theory, in which prior probability distributions of classes of cases are …
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The environmental risk associated with genetically modified organisms (GMO) implies that new approaches to risk assessment, risk management and risk communication are needed. In this paper we discuss the role of the precautionary principle in policy responses to GMO risk. We first discuss...
Persistent link: https://www.econbiz.de/10011968168
This paper produces a comprehensive theory of the value of Bayesian information and its static demand. Our key insight … produces the heat equation from physics, and leads to a tractable theory. We derive explicit formulas that harmonize the known …
Persistent link: https://www.econbiz.de/10005463995
The environmental risk associated with genetically modified organisms (GMO) implies that new approaches to risk assessment, risk management and risk communication are needed. In this paper we discuss the role of the precautionary principle in policy responses to GMO risk. We first discuss...
Persistent link: https://www.econbiz.de/10004980878
Persistent link: https://www.econbiz.de/10005090854
We propose a consumption-based capital asset pricing model in which the representative agent's preferences display state-dependent risk aversion. We obtain a valuation equation in which the vector of excess on equity includes both consumption risk as well as the risk associated with variations...
Persistent link: https://www.econbiz.de/10005696262
We propose a consumption-based capital asset pricing model in which the representative agent's preferences display state-dependent risk aversion. Since a common factor - the state of the world - influences both stock prices and preferences, we obtain a valuation equation in which the vector of...
Persistent link: https://www.econbiz.de/10005670330