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Proofs for the New Definitions in Financial Markets

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  • Aras, Atilla

Abstract

Constructing theorems can help to determine the shape of certain utility curves that make up the new definitions in financial markets. The aim of this study was to present proofs for these theorems. Although the terms “risk-averse,” “risk-loving,” and “risk-neutral” are equivalent to “strict concavity,” “strict convexity,” and “linearity,” respectively, in standard theory, certain new definitions satisfy strict concavity or strict convexity, or linearity.

Suggested Citation

  • Aras, Atilla, 2023. "Proofs for the New Definitions in Financial Markets," OSF Preprints yac7z, Center for Open Science.
    • Handle: RePEc:osf:osfxxx:yac7z
    DOI: 10.31219/osf.io/yac7z
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    References listed on IDEAS

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    Cited by:

    1. Aras, Atilla, 2023. "Empirical Evidence for the New Definitions in Financial Markets and Equity Premium Puzzle," OSF Preprints 2nw5g_v1, Center for Open Science.

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