AD-A018 642 ASSESSMENT OF SIMPLE JO!NT TIME/RISK PREFERENCE fUNCTIONL

Abstract

This article outlines a procedure for assessing a decision maker's cardinal utility function PCXj.....X^...,^) where x1 is the payoff in the i period of an N-period future. The function U(x) captures the decision maker's time preferences (his willingness to trade off payoffs between time periods) and his risk preferences (his attitude toward risk taking… (More)

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