The present paper introduces a theoretical framework through which the degree of risk aversion with respect uncertain … framework for measuring price risk aversion through varying prices as opposed to varying payoffs, which has been common practice … function (DUF) and the IUF are dual to each other, implicitly suggesting that the degree of risk aversion (or risk seeking …

and on the literature of imperfectly divisible consumption to argue that the general purpose of insurance is not a risk … transfer, but meeting a conditional need. In this way, insurance aligns the risk in one's ftnancial endowment with the risk in …