Projects per year
Abstract
This article examines the effects of ambiguity aversion on intertemporal decisions when there is ambiguity about a future state. Compared to the existing literature, we allow for a three-way separation between intertemporal substitution, risk aversion, and ambiguity aversion. Holding risk preferences, beliefs, and time preferences fixed, we explore how a change in ambiguity aversion increases the strength of the current willingness to pay. We apply our results to saving, self-protection, and self-insurance problems.
| Original language | English |
|---|---|
| Pages (from-to) | 195-212 |
| Number of pages | 18 |
| Journal | Journal of Risk and Insurance |
| Volume | 87 |
| Issue number | 1 |
| Early online date | 3 Jul 2018 |
| DOIs | |
| Publication status | Published - Mar 2020 |
Funding
The research described here was supported by the National Natural Science Foundation of China with Grant Nos. 71401074 and 71231005, the Fundamental Research Funds for the Central Universities under Research Project No. NS2018049, General Research Fund of the Hong Kong Research Grants Council under Research Project No. LU13500717, and the Faculty Research Grant of Lingnan University under Research Project Nos. DB18A9, DR17A6, and DB16A1.
Projects
- 4 Finished
-
Asymmetric Attitude towards Non-Probabilistic Subjective Uncertainty
LI, J. (PI)
1/03/18 → 29/02/20
Project: Grant Research
-
Comparative Statics with Interval Dominance Order on Precautionary Paying for Stochastic Improvements (對於隨機改進的預防性支付的基於區間占優序的比較靜態)
LI, J. (PI) & KAJII, A. (CoI)
Research Grants Council (HKSAR)
1/01/18 → 31/12/19
Project: Grant Research
-
The Effect of a Change in Time Preference on Prevention and Precaution
LI, J. (PI)
1/03/17 → 28/02/19
Project: Grant Research