Reversibly greater downside risk aversion by a prudence-based measure

C-Tier
Journal: Economics Letters
Year: 2022
Volume: 210
Issue: C

Authors (2)

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We show that p−3r and r increasing, that is, both being greater for utility v than for u, implies greater downside risk aversion for v, where r is the Arrow–Pratt measure and p is the prudence measure. Moreover, this property is reversible, in that p−3r and r together decreasing implies less downside risk aversion.

Technical Details

RePEc Handle
repec:eee:ecolet:v:210:y:2022:i:c:s0165176521004456
Journal Field
General
Author Count
2
Added to Database
2026-01-25