Changing risks and optimal effort

David Crainich, Louis Eeckhoudt and Mario Menegatti

Post-Print from HAL

Abstract: Consider a decision maker who can engage in effort to increase the probability of facing a better risky situation. Intuition suggests that effort should increase when there is a greater difference between the best risky situation and the worse one. We show that this intuition is not necessarily valid and we consider the cases of risk averters and risk lovers.

Keywords: Effort; Self-protection; Nth-order risk changes; Mixed risk aversion; Mixed risk loving (search for similar items in EconPapers)
Date: 2016-05
References: Add references at CitEc
Citations: View citations in EconPapers (22)

Published in Journal of Economic Behavior and Organization, 2016, 125, pp.97--106. ⟨10.1016/j.jebo.2016.01.009⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Changing risks and optimal effort (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-01533522

DOI: 10.1016/j.jebo.2016.01.009

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().