Wealth Equivalents, Risk Aversion, and the Marginal Benefit from Increased Safety

Abstract

In the paper it is shown that if a wealth equivalent to an undesirable event exists, then the assumption of risk aversion has strong and interesting implications for safety decisions. In addition, the authors set forth sufficient conditions for the existence of a wealth equivalent to a nonmonetary and undesirable event.

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Document Details

Document Type
Technical Report
Publication Date
May 01, 1974
Accession Number
AD0781375

Entities

People

  • Michael K. Block
  • Robert C. Lind

Organizations

  • Naval Postgraduate School

Tags

DTIC Thesaurus Topics

  • Business Administration
  • California
  • Classification
  • Commerce
  • Contracts
  • Economics
  • Equations
  • Intervals
  • Law Enforcement
  • Military Research
  • Money
  • National Security
  • Operations Research
  • Probability
  • Schools
  • Security

Fields of Study

  • Economics

Readers

  • Economics
  • Regression Analysis.