Abstract
Crainich, Eeckhoudt, and Trannoy (2013) show that mixed risk lovers are prudent. I show that common risk loving utility functions may not exhibit mixed risk loving—as is typical for risk aversion and mixed risk aversion—and thus these traits should be carefully distinguished. In particular, risk lovers may be imprudent.
| Original language | English |
|---|---|
| Pages (from-to) | 1536-1537 |
| Journal | American Economic Review |
| Volume | 103 |
| Issue number | 4 |
| DOIs |
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| Publication status | Published - Jun 2013 |
| Externally published | Yes |