In economics, the utility function measures the welfare or satisfaction of a consumer as a function of the consumption of real goods, such as food or clothing. Utility function is widely used in ...

Certainty equivalence (CE) and probability equivalence (PE) methods are the two most frequently used procedures for constructing von Neumann-Morgenstern utility functions. In this paper, we compare ...

This paper models the demand for assets and liabilities by a life insurers. As one step toward the implementation of a utility-dependent portfolio methodology, the paper empirically estimates a family ...