Anomalies: Risk Aversion

By Matthew Rabin, Richard H. Thaler. 2001

907 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance, General Decision Sciences

View Paper: https://www.semanticscholar.org/paper/c926c9e6b13712c87c7c9cf17721357e4558c050

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Citations in the corpus

A Psychological Perspective on Economics (2003, methodology): “An important article by Matthew Rabin (2000; see also Rabin and Thaler, 2001 ) showed that attitudes to wealth cannot explain the levels of risk aversion observed when the stakes are low.”
The effect of anger and anxiety traits on investment decisions (2012, background): “From this point of view, investment risk is the variance of stock utility (e.g., Rabin & Thaler, 2001).”
Effects of Marriage and Children on Financial Risk Tolerance: A Synthesis of Family Development and Prospect Theory (2003, background): “The standard utility maximization model for risk aversion emphasizes a rational and equal weighing of potential losses and benefits, with greater risk taking predicted when wealth levels are high and the “marginal utilities associated with fluctuations in lifetime wealth” ( Rabin & Thaler, 2001, p. ”
The Loss of Loss Aversion: Will It Loom Larger Than Its Gain? (2018, neutral): “In fact, that the effects attributed to loss aversion have been found with small stakes is cited as particularly strong evidence for loss aversion (Rabin, 2003; Rabin & Thaler, 2001).”
Over)insuring Modest Risks (2010, background): “…people appear to pay a large amount to insure against very modest nancial losses (e.g., Kunreuther and Pauly (2006), Cutler and Zeckhauser (2004), Rabin and Thaler (2001), Dreze 1 See Kunreuther and Pauly (2006) for one of the few systematic discussion and classi cations of anomalies in…”
Narrow Bracketing and Dominated Choices (2009, neutral): “As suggested in Rabin (2000a, 2000b) and Rabin and Thaler (2001) ,”
Risk aversion in family firms: what do we really know? (2012, background): “The terms “risk tak *”, “risk seek *”, “take risk *” and “seek risk *” were included to also find articles on family firms that cover topics regarded as the opposite of risk aversion, namely, risk-taking or risk-seeking behavior (Rabin and Thaler, 2001; Kuhnen and Knutson, 2005; Alghalith et al., 20”
A psychological law of inertia and the illusion of loss aversion (2005, background): “Indeed, Rabin and Thaler (2001) argue that it is the fact that people are so risk averse with such small sums of money that provides the greatest support for the existence of loss aversion.”
Modeling the interplay between affect and deliberation. (2015, result): “To the extent that small-stakes risk aversion derives from loss aversion (Rabin, 2000; Rabin & Thaler, 2001), these results are consistent with the prediction that increasing cognitive load will lead to increased loss aversion ( Prediction R-5).”
The behavioural economics of climate change (2008, methodology): “2 Benartzi and Thaler (1995) explain the equity premium using Kahneman and Tversky’s (1979) prospect theory (PT). According to the review in Starmer (2000), cumulative PT is the theory that best predicts the data we have on choices under uncertainty, so it is a natural candidate to explain also the ”