This book updates and advances the theory of expected utility as applied to risk analysis and financial decision making. Von Neumann and Morgenstern pioneered the use of expected utility theory in the 1940s, but most utility functions used in financial management are still relatively simplistic and assume a mean-variance world. Taking into account recent advances in the economics of risk and un…
Leading international economists offer new insights on recent developments in the economic analysis of the limits of insurability, with particular attention of adverse selection and moral hazard.Risk sharing is a cornerstone of modern economies. It is valuable to risk-averse consumers and essential for investment and entrepreneurs. The standard economic model of risk exchange predicts that comp…
In this text prominent economists present the pros and cons of government support for national champions of industry over political governance.OCLC-licensed vendor bibliographic record.