Forthcoming in Risk Management & Insurance Review.
ABSTRACT: Decisions to purchase insurance should be a perfect place to see economic theory at work in general, and behavioral economics at work in particular. We have well-developed theories of the demand for, and welfare evaluation of, insurance products. These theories extend relatively… more »
ABSTRACT: Accurately estimating risk preferences is of critical importance when evaluating data from many economic experiments or behavioral interactions. I conduct power analyses over two lottery batteries designed to classify individual subjects as one of a number of alternative specifications of risk preference models. I propose a conservative case in which… more »