Búsqueda

Self-insurance, self-protection, and saving : on consumption smoothing and risk management

Recurso electrónico / Electronic resource
Sección: Artículos
Título: Self-insurance, self-protection, and saving : on consumption smoothing and risk management / Annette Hofmann, Richard PeterAutor: Hofmann, Annette
Notas: Sumario: This article studies the effect of risk preferences on self-insurance and selfprotection in a two-period expected utility framework. Here the investment to reduce risk precedes its effect. In contrast to single-period models, selfinsurance and self-protection react similarly when the agent's utility function becomes more concave. Effort is increased if and only if current consumption is sufficiently large. However, if we introduce endogenous saving, an agent with more concave utility always selects more self-insurance, but will select more self-protection if and only if the probability of loss is small enough. These latter results concur with those in standard monoperiodic models with no saving.Registros relacionados: En: The Journal of risk and insurance. - Nueva York : The American Risk and Insurance Association, 1964- = ISSN 0022-4367. - 05/09/2016 Volumen 83 Número 3 - septiembre 2016 , p. 719-734Materia / lugar / evento: Gerencia de riesgos Autoseguro Autoprotección Ahorro Modelos de planificación Otros autores: Peter, Richard
Otras clasificaciones: 7
Ver detalle del número