Score contribution per author:
α: calibrated so average coauthorship-adjusted count equals average raw count
In this paper, we deal with the basic two-period consumption–saving problem where the first- and second-period consumption utilities, $$v$$ v and $$ u$$ u , are assumed to be concave, respectively, as usually. We prove that for the rank-dependent utility model, prudence is fully characterized by the convexity of $$u^{\prime }$$ u ′ and strong pessimism. The paper ends by showing that for a strong risk-averse RDU decision-maker, strict pessimism allows local weak prudence, whatever the sign of $$u^{\prime \prime \prime }$$ u ″ ′ , whereas for a strong risk-averse EU decision-maker local weak prudence cannot be disentangled from prudence. Copyright Springer-Verlag Berlin Heidelberg 2016