Sentence examples for absolute risk aversion from inspiring English sources

with defining the coefficient of absolute risk aversion.

where η is the migrant's degree of absolute risk aversion.

This research is not focused on delivering precise estimates of relative or absolute risk aversion.

Third, we used a coefficient of absolute risk aversion derived from U.S. data.

The SERF method calls for calculating Certainly Equivalent CE values over a range of absolute risk aversion coefficients (ARACs).

Exponential utility implies constant absolute risk aversion and increasing relative risk aversion (IRRA) (Lengwiler 2004, p. 92).

With a constant absolute risk-aversion (CARA) utility function, we obtain a closed form solution of the optimal contract.

The dependent variable is the log of absolute deviation from optimality (both relative to EAOC and EPOC: LD-EAOC and LD-EPOC considering each particular risk aversion value).

Risk aversion for mixed (gain or loss) gambles is explained through loss aversion, such that given the same absolute value losses carry a greater impact than gains (Tversky & Kahneman, 1991).

Risk aversion.

"Our 'competition' is risk aversion.