FS IV 02 – 06 Multiplicative Background Risk
نویسندگان
چکیده
Multiplicative Background Risk by Günter Franke, Harris Schlesinger, Richard C. Stapleton We consider random wealth of the multiplicative form x ỹ, where x and ỹ are statistically independent random variables. We assume that x is endogenous to the economic agent, but that ỹ is an exogenous and uninsurable background risk. Our main focus is on how the randomness of ỹ affects risk-taking behavior for decisions on the choice of x. We characterize conditions on preferences that lead to more cautious behavior. We also develop the concept of the affiliated utility function, which we define as the composition of the underlying utility function and the exponential function. This allows us to adapt several results for additive background risk to the multiplicative case.
منابع مشابه
X iv : a st ro - p h / 06 02 06 1 v 1 3 F eb 2 00 6 Information of Structures in Galaxy Distribution
We introduce an information-theoretic measure, the Rényi information, to describe the galaxy distribution in space. We discuss properties of the information measure, and demonstrate its relationship with the probability distribution function and multifractal descriptions. Using the First Look Survey galaxy samples observed by the Infrared Array Camera onboard Spitzer Space Telescope, we present...
متن کاملHLA-DRB1-DQB1 Haplotypes Confer Susceptibility and Resistance to Multiple Sclerosis in Sardinia
INTRODUCTION Genetic predisposition to multiple sclerosis (MS) in Sardinia (Italy) has been associated with five DRB1*-DQB1* haplotypes of the human leukocyte antigen (HLA). Given the complexity of these associations, an in-depth re-analysis was performed with the specific aims of confirming the haplotype associations; establishing the independence of the associated haplotypes; and assessing pa...
متن کاملx / 02 06 06 9 v 1 2 7 Ju n 20 02 A new measurement of the Ξ 0 c lifetime
Using data collected by the Fermilab experiment FOCUS, we measure the lifetime of the charmed baryon Ξc using the decay channels Ξ o c → Ξ π and Ξc → Ω K. From a combined sample of 110 ± 17 events we find τ(Ξc) = 118 +14 − 12 ± 5 fs, where the first and second errors are statistical and systematic, respectively.
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
عنوان ژورنال:
دوره شماره
صفحات -
تاریخ انتشار 2002