This paper focuses on the study of decision making under risk. We first recall some model-free definitions of risl aversion and increase in risk. We propose a new form of behavior under risk that we …

1970年9月1日 · In this section we formally define the three partial orderings corresponding to the first three concepts of increasing risk set out in Section I and prove their equivalence. 1. Partial Orderings A partial ordering <,, on a set is a binary, transitive, reflexive …

This chapter discusses the problem of defining an increase in risk in a way that can be used for economic purposes. Comparisons of riskiness or uncertainty are commonly restricted to comparisons of variance, largely because of the long history of the use of the first three approaches lead to a single definition of greater riskiness, different ...

In Section IV we show that this concept of increasing risk is not equivalent to that implied by equating the risk of X with the variance of X. This suggests to us that our concepts lead to a better definition of increasing risk than the standard one. It is of course impossible to prove that one definition is better than

1978年1月1日 · This chapter discusses the problem of defining an increase in risk in a way that can be used for economic purposes. Comparisons of riskiness or uncertainty are commonly restricted to comparisons of variance, largely because of the long history of the use of the first three approaches lead to a single definition of greater riskiness, different ...

1975年8月1日 · INCREASING RISK 121 yields a partial order over the set of cumulative distributions in terms of riskiness. This ordering is partial in two senses. First, only cumulative distributions with the same mean can be ordered. Second, not all distributions with the same mean can be ordered.

There are two reasons for the increase of marginal risk with the amount invested. The first is the fact that the greater is the investment of an entrepreneur the more is his wealth position endangered in the event of unsuccessful business. The second reason making the marginal risk rise with the size of investment is the danger of " illiquidity ...

Part of the book series: Huebner International Series on Risk, Insurance and Economic Security ( (HSRI,volume 14)) This paper attempts to answer the question: When is a random variable Y “more variable” than another random variable X?

Increasing Risk: I. A Definition Journal Publication Increasing Risk: I. A Definition Document Control Number(s) CFP 341A. Publication Link. Increasing Risk: I. A Definition. Page Count. 225. Publication Date. September 1970. Revision Date. September 2017. Yale. Cowles Foundation for Research in Economics ...

Rothschild, Michael and Stiglitz, Joseph E., "Increasing Risk: A Definition and Its Economic Consequences" (1969). Cowles Foundation Discussion Papers. 508. https://elischolar.library.yale.edu/cowles-discussion-paper-series/508