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About A Theory of Insurance and Gambling
In 1948, Milton Friedman and L. J. Savage suggested that risk preferences explain the demand for insurance and gambling–a theory that is still almost universally accepted by economists today. If you were to ask almost any economist why people purchase insurance, they would say it is because most people are and quot;risk averse, and quot; or equivalently, and quot;prefer certainty of losses. and quot; If asked to explain why people gamble, they would say it is because some people are and quot;risk seekers. and quot;
Detailed Information
| Author: | John A. Nyman |
|---|---|
| Pages: | 273 |
| Language: | English |
| File Size: | 13 |
| Format: | |
| Price: | FREE |
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