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Probability weighting and insurance demand in a unified framework
16 references·1 citing·32 second hop
Probability weighting and insurance demand in a unified framework (2022)Probability weighting and insurance deman…Prospect Theory (2010)Prospect TheoryThe description–experience gap in risky choice (2009)The description–experience ga…Reference-Dependent Risk Attitudes (2007)Reference-Dependent Risk Atti…Insurance: Mathematics and Economics (2004)Insurance: Mathematics and Ec…Decisions from Experience and the Effect of Rare Events in Risky Choice (2004)Decisions from Experience and…The Economic Costs of Conflict: A Case Study of the Basque Country (2003)The Economic Costs of Conflic…Risk Aversion and Expected-utility Theory: A Calibration Theorem (2000)Risk Aversion and Expected-ut…The Probability Weighting Function (1998)The Probability Weighting Fun…Curvature of the Probability Weighting Function (1996)Curvature of the Probability …Advances in prospect theory: Cumulative representation of uncertainty (1992)Advances in prospect theory: …Subjective Probability and Expected Utility without Additivity (1989)Subjective Probability and Ex…The Dual Theory of Choice under Risk (1987)The Dual Theory of Choice und…A theory of anticipated utility (1982)A theory of anticipated utili…Prospect Theory: An Analysis of Decision under Risk (1979)Prospect Theory: An Analysis …Aspects of Rational Insurance Purchasing (1968)Aspects of Rational Insurance…Risk Aversion in the Small and in the Large (1964)Risk Aversion in the Small an…Insurance and the Preference for Early Resolution of Uncertainty (2024)Insurance and the Preference …Judgment under Uncertainty: Heuristics and Biases (1975)Prospect theory: An analysis of decision under risk (1988)Individual differences in reasoning: Implications for the rationality debate? (2000)A perspective on judgment and choice: Mapping bounded rationality. (2003)RATIONAL CHOICE AND THE FRAMING OF DECISIONS (1988)Theory of games and economic behavior (2019)Substitution, Risk Aversion, and the Temporal Behavior of Consumption and Asset Returns: A Theoretical Framework (1989)Subjective probability and expected utility without additivity (2004)Risk Aversion in the Small and in the Large (1976)On the Shape of the Probability Weighting Function (1999)Developments in Non-Expected Utility Theory: The Hunt for a Descriptive Theory of Choice under Risk (2000)Risk as feelings. (2001)Economic Growth in a Cross Section of Countries (1991)The Cross-Section of Expected Stock Returns (1992)Common risk factors in the returns on stocks and bonds (1993)Poverty, Political Freedom, and the Roots of Terrorism (2006)Civil War (2010)Comparative Politics and the Synthetic Control Method (2014)Loss Aversion in Riskless Choice: A Reference-Dependent Model (1991)Risk Aversion and Incentive Effects (2002)Cognitive Reflection and Decision Making (2005)Psychology and Economics: Evidence from the Field (2009)Experience-Based and Description-Based Perceptions of Long-Term Risk: Why Global Warming does not Scare us (Yet) (2006)Risk and Rationality in Adolescent Decision Making (2006)The trouble with overconfidence. (2008)The Framing of Decisions and the Psychology of Choice (1981)Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance (2007)Recent developments in modeling preferences: Uncertainty and ambiguity (1992)A Smooth Model of Decision Making under Ambiguity (2005)On the measurement of inequality (1970)THE VALUATION OF RISK ASSETS AND THE SELECTION OF RISKY INVESTMENTS IN STOCK PORTFOLIOS AND CAPITAL BUDGETS**This paper is another in a series of interrelated theoretical and statistical studies of corporate financial and investment policies being made under grants from the Rockefeller Foundation, and more recently the Ford Foundation, to the Harvard Business School. The generous support for this work is most gratefully acknowledged. The author is also much indebted to his colleagues Professors Bishop, Christenson, Kahr, Raiffa, and (especially) Schlaifer, for extensive discussion and commentary on an earlier draft of this paper; but responsibility for any errors or imperfections remains strictly his own.[Professor Sharpe's paper, “Capital Asset Prices: A Theory of Market Equilibrium Under Conditions of Risk” (Journal of Finance, September 1964) appeared after this paper was in final form and on its way to the printers. My first section, which parallels the first half of his paper (with corresponding conclusions), sets the algebraic framework for sections II, III and VI, (which have no counterpart in his paper) and for section IV on the equilibrium prices of risk assets, concerning which our results differ significantly for reasons which will be explored elsewhere. Sharpe does not take up the capital budgeting problem developed in section V below.] (1975)The arbitrage theory of capital asset pricing (1976)
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References

  • 1979Prospect Theory: An Analysis of Decision under Risk48,459 cited
  • 1992Advances in prospect theory: Cumulative representation of uncertainty15,457 cited
  • 1964Risk Aversion in the Small and in the Large4,964 cited
  • 2003The Economic Costs of Conflict: A Case Study of the Basque Country4,514 cited
  • 1982A theory of anticipated utility3,136 cited
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  • 1998The Probability Weighting Function1,998 cited
  • 2004Decisions from Experience and the Effect of Rare Events in Risky Choice1,657 cited
  • 2000Risk Aversion and Expected-utility Theory: A Calibration Theorem1,623 cited
  • 2004Insurance: Mathematics and Economics1,308 cited
  • 2007Reference-Dependent Risk Attitudes1,028 cited
  • 1996Curvature of the Probability Weighting Function990 cited
  • 2009The description–experience gap in risky choice916 cited
  • 2010Prospect Theory851 cited
  • 1968Aspects of Rational Insurance Purchasing738 cited

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  • 2024Insurance and the Preference for Early Resolution of Uncertainty1 cited