The Role of Risk Aversion in Predicting Individual Behaviour ¤

@inproceedings{Guiso2004TheRO,
  title={The Role of Risk Aversion in Predicting Individual Behaviour ¤},
  author={Luigi Guiso and Monica Paiella},
  year={2004}
}
We use household survey data to construct a direct measure of absolute risk aversion based on the maximum price a consumer is willing to pay to buy a risky asset. We relate this measure to a set of consumers’ decisions that in theory should vary with attitude towards risk. We ...nd that elicited risk aversion has considerable predictive power for a number of key household decisions such as choice of occupation, portfolio selection, moving decisions and exposure to chronic diseases in ways… CONTINUE READING
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The Role of Social Capital in Financial Development

  • Guiso Luigi, Paola Sapienza, Luigi Zingales
  • 2004

Reconciling Con‡icting Evidence on the Elasticity of Intertemporal Substitution: a Macroeconomic Perspective,

  • Guvenen, Fatih
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Portfolios of the Rich”, in Luigi Guiso, Michael Haliassos and Tullio Jappelli (eds.) “Household Portfolios

  • Carroll, D Christopher
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What Does the Classical Theory Have to Say about Portfolio Choice?”, in Luigi Guiso, Michael Haliassos and Tullio Jappelli (eds.) “Household Portfolios

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Household Portfolios in Italy ”, in Luigi Guiso, Michael Haliassos and Tullio Jappelli (eds.) “Household Portfolios

  • Guiso, Luigi, Tullio Jappelli
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