Commitment through risk

dc.contributor.authorKylymnyuk, Dmytro
dc.contributor.authorWagner, Alexander
dc.date.accessioned2020-04-22T10:01:52Z
dc.date.available2020-04-22T10:01:52Z
dc.date.issued2012-09eng
dc.description.abstractWe show that risk-averse hyperbolic-discounting agents can benefit from positive exposure to risk and thus behave as if risk-loving. When the benefits of costly effort are delayed, selecting some risk concerning the outcome of one’s own effort can serve as an intrapersonal commitment device for exerting higher effort, thereby attenuating the negative effect of time-inconsistency. Comparing the effects of time-inconsistency, risk aversion and prudence, we formulate an intuitive condition for risk exposure to be an optimal strategy and discuss several applications of this result.eng
dc.description.versionpublishedde
dc.identifier.doi10.1016/j.econlet.2012.03.014eng
dc.identifier.urihttps://kops.uni-konstanz.de/handle/123456789/49252
dc.language.isoengeng
dc.subjectTime-inconsistency; Risk aversion; Prudence; Effort provisioneng
dc.subject.ddc330eng
dc.titleCommitment through riskeng
dc.typeJOURNAL_ARTICLEde
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@article{Kylymnyuk2012-09Commi-49252,
  year={2012},
  doi={10.1016/j.econlet.2012.03.014},
  title={Commitment through risk},
  number={3},
  volume={116},
  issn={0165-1765},
  journal={Economics Letters},
  pages={295--297},
  author={Kylymnyuk, Dmytro and Wagner, Alexander}
}
kops.citation.iso690KYLYMNYUK, Dmytro, Alexander WAGNER, 2012. Commitment through risk. In: Economics Letters. Elsevier. 2012, 116(3), pp. 295-297. ISSN 0165-1765. eISSN 1873-7374. Available under: doi: 10.1016/j.econlet.2012.03.014deu
kops.citation.iso690KYLYMNYUK, Dmytro, Alexander WAGNER, 2012. Commitment through risk. In: Economics Letters. Elsevier. 2012, 116(3), pp. 295-297. ISSN 0165-1765. eISSN 1873-7374. Available under: doi: 10.1016/j.econlet.2012.03.014eng
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kops.sourcefieldEconomics Letters. Elsevier. 2012, <b>116</b>(3), pp. 295-297. ISSN 0165-1765. eISSN 1873-7374. Available under: doi: 10.1016/j.econlet.2012.03.014deu
kops.sourcefield.plainEconomics Letters. Elsevier. 2012, 116(3), pp. 295-297. ISSN 0165-1765. eISSN 1873-7374. Available under: doi: 10.1016/j.econlet.2012.03.014deu
kops.sourcefield.plainEconomics Letters. Elsevier. 2012, 116(3), pp. 295-297. ISSN 0165-1765. eISSN 1873-7374. Available under: doi: 10.1016/j.econlet.2012.03.014eng
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source.periodicalTitleEconomics Letterseng
source.publisherElseviereng

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