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A theoretically-consistent empirical model of non-expected utility: An application to nuclear-waste transport Author info | Abstract | Publisher info | Download info | Related research | Statistics Mary Riddel ()
W. Shaw ()
Few theoretically-consistent empirical models addressing the relationship between ambiguity, risk, and preferences for health and safety exist. To fill this gap, we propose a theoretical non-expected-utility model (NEUM) that is relatively easy to estimate using an interval-data model. The NEUM we develop hinges upon two sources of variability, one over risk and the other over ambiguity about the risk. Using data from a survey of Nevada residents concerning risks from nuclear-waste transport, we provide individual-specific welfare estimate for a risk increase. Our findings suggest that negative externalities from nuclear-waste transport perceived risks and ambiguity may be substantial. Copyright Springer Science + Business Media, LLC 2006
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Article provided by Springer in its journal Journal of Risk and Uncertainty .
Volume (Year): 32 (2006)
Issue (Month): 2 (March)
Pages: 131-150
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Handle: RePEc:kap:jrisku:v:32:y:2006:i:2:p:131-150Contact details of provider: Web page: http://www.springerlink.com/link.asp?id=100299
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Keywords: Expected utility ; Risk and uncertainty ; Ambiguity ; Nuclear-waste transport ; References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.:
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