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Higher order risk attitudes: A review of experimental evidence

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  • Trautmann, Stefan T.
  • Kuilen, Gijs van de

Abstract

This paper reviews the recent, but fast-growing experimental literature on higher order risk attitudes. After introducing the theoretical context, we first review the basic evidence and empirical moderators of these risk attitudes. We then discuss recent extensions to ambiguity, time risk, and multi-attribute utility. In the last part we review indirect evidence from applied economic decision tasks.

Suggested Citation

  • Trautmann, Stefan T. & Kuilen, Gijs van de, 2018. "Higher order risk attitudes: A review of experimental evidence," European Economic Review, Elsevier, vol. 103(C), pages 108-124.
    • Handle: RePEc:eee:eecrev:v:103:y:2018:i:c:p:108-124
    DOI: 10.1016/j.euroecorev.2018.01.007
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