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- W4229019268 abstract "Abstract We present incentivised panel data measuring risk preferences of subsistence farmers from across Ethiopia and pair them with rainfall data. We use these data to test the hypothesis that risk preferences may adapt to the environment of the decision maker. We find that rainfall shocks decrease risk tolerance for the same individuals over time. We also find that historical rainfall characteristics and geographical features can explain 40% of the variation in preferences across individuals. The time-changing effects are perfectly aligned with the geographical effects we document, painting a unified and highly coherent picture. This provides the first real-world evidence that preferences may systematically adapt to the environment of the decision maker." @default.
- W4229019268 created "2022-05-08" @default.
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- W4229019268 date "2022-05-05" @default.
- W4229019268 modified "2023-10-17" @default.
- W4229019268 title "Environmental Adaptation of Risk Preferences" @default.
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- W4229019268 doi "https://doi.org/10.1093/ej/ueac030" @default.
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