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A Possibilistic and Probabilistic Approach to Precautionary Saving

Author

Listed:
  • Irina Georgescu
  • Adolfo Crist'obal Campoamor
  • Ana Maria Lucia Casademunt

Abstract

This paper proposes two mixed models to study a consumer's optimal saving in the presence of two types of risk.

Suggested Citation

  • Irina Georgescu & Adolfo Crist'obal Campoamor & Ana Maria Lucia Casademunt, 2017. "A Possibilistic and Probabilistic Approach to Precautionary Saving," Papers 1706.07760, arXiv.org.
    • Handle: RePEc:arx:papers:1706.07760
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    File URL: http://arxiv.org/pdf/1706.07760
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    References listed on IDEAS

    as
    1. Thomas W. Bates & Kathleen M. Kahle & René M. Stulz, 2009. "Why Do U.S. Firms Hold So Much More Cash than They Used To?," Journal of Finance, American Finance Association, vol. 64(5), pages 1985-2021, October.
    2. Eeckhoudt, Louis & Schlesinger, Harris, 2008. "Changes in risk and the demand for saving," Journal of Monetary Economics, Elsevier, vol. 55(7), pages 1329-1336, October.
    3. Gollier, Christian & Pratt, John W, 1996. "Risk Vulnerability and the Tempering Effect of Background Risk," Econometrica, Econometric Society, vol. 64(5), pages 1109-1123, September.
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    Cited by:

    1. Irina Georgescu & Louis Aimé Fono, 2019. "A Portfolio Choice Problem in the Framework of Expected Utility Operators," Mathematics, MDPI, vol. 7(8), pages 1-16, July.

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    More about this item

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

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