@techreport{c566934eeb604b4ba9724a61e5e15cac,
title = "Higher-Order Risk Attitudes for Non-Expected Utility",
abstract = "This paper extends the analysis of higher-order risk preferences to the domain of non-expected utility. We provide behavioral definitions of higher-order risk preferences that, besides under expected utility, retain validity under most popular non-expected utility models, and are readily amenable to experimentation. We implement our definitions in a measurement experiment with N = 227 respondents. The results provide evidence of probability-driven prudence both for gains and for losses. Furthermore, we find outcome prudent behavior for losses, but outcome-prudent neutral behavior for gains, suggesting that prudence as observed in most previous studies is primarily probabilistic in nature.",
keywords = "higher-order risk attitudes, prudence, temperance, risk apportionment, non-expected utility theory, Self-protection",
author = "{van Bruggen}, Paul and Laeven, {Roger J. A.} and {van de Kuilen}, Gijs",
note = "CentER Discussion Paper Nr. 2024-019",
year = "2024",
month = sep,
day = "2",
language = "English",
volume = "2024-019",
series = "CentER Discussion Paper",
publisher = "CentER, Center for Economic Research",
type = "WorkingPaper",
institution = "CentER, Center for Economic Research",
}