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domains; these include risk aversion, locus of control, alongside socio-economic and demographic characteristics. A greater … aversion to income inequality predicts a lower probability of voting for Leave, even when controlling for risk aversion and …
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Assuming a risk-neutral bank and assuming household utility to be exponential, we show how under information symmetry …
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We develop a method to estimate domain-specific risk. We apply the method to sickness insurance by fitting a utility … risk aversion increases with income. Second, marginal utility is higher in the sick state conditional on income, due to an … observed fixed cost of sickness. Third, the domain-specificity of risk shifts the focus on the smoothing of utility, not …
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