Dertwinkel-Kalt, Markus; Köster, Mats - 2019 - First version: February 2017, this version: January 2019
Whether people seek or avoid risks on gambling, insurance, asset, or labor markets crucially depends on the skewness of … skewed risks. We show that salience theory of choice under risk can explain this preference for positive skewness, because … choices under risk not only depend on the absolute skewness of the available options, but also on how skewed these options …