Decisions under unpredictable losses
An experimental test of the descriptive adequacy of the extit{restated diversification principle} is presented. The principle postulates that risk-averse utility maximizers will pool risks for their mutual benefit, even if information is missing about the probabilities of losses. It is enough for pe...
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| Format: | Article |
| Language: | English |
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Society for Judgment and Decision Making
2007-10-01
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| Series: | Judgment and Decision Making |
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| Online Access: | http://journal.sjdm.org/jdm71016.pdf |