Browsing by Author "Pellicer, Miquel"
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- ItemOpen AccessAmbiguity, ambiguity aversion and the coverage of uncertain risks : the case of the insurer(2011) Chelwa, Grieve; Pellicer, MiquelAmbiguity aversion is defined as an aversion to any mean-preserving spread in the probability space. Using the Smooth Ambiguity Model proposed by Klibanoff, Marinacci and Mukerji (2005), we show that ambiguity aversion results in a reduction in the proportion of insurance coverage offered by an insurer. This is because an ambiguity averse insurer calculates expected utilities by using a 'distorted' probability that raises the marginal disutility of wealth in the loss state. We also show that, in general, an ambiguity averse insurer will not offer more coverage to wealthier agents. Wealthier agents enjoy more coverage when the subjective average probability of loss is significantly high. Our results go a long way in reconciling theoretical models of insurance under ambiguity with the empirical finding that insurers are sensitive to ambiguity.
- ItemMetadata onlyElectoral Rules and Clientelistic Parties: A Regression Discontinuity Approach(Southern Africa Labour and Development Research Unit, 2015-05-28) Pellicer, Miquel; Wegner, Eva
- ItemOpen AccessFinancial development, credit rationing and the distribution of income: South Africa 1913-2008(2011) Dos Santos, Claudia; Pellicer, MiquelThis paper provides a theoretical examination of the impact of financial development and credit constraints on earnings inequality in the country between 1923 and 2008. The time-span is particularly interesting, as it includes three distinct political regimes: colonialism, apartheid and democracy.
- ItemMetadata onlyInequality traps and human capital accumulation in South Africa(Southern Africa Labour and Development Research Unit, 2015-05-28) Pellicer, Miquel; Ranchhod, Vimal
- ItemMetadata onlyInequality Traps in South Africa: An overview and research agenda(Southern Africa Labour and Development Research Unit, 2015-05-28) Pellicer, Miquel; Ranchhod, Vimal; Sarr, Mare; Wegner, Eva
- ItemMetadata onlyInformation, mobilization, and demand for redistribution: A survey experiment in South Africa(2015-05-28) Pellicer, Miquel; Piraino, Patrizio; Wegner, Eva
- ItemMetadata onlyThe demand side of clientelism: The role of client’s perceptions and values(2015-05-28) Pellicer, Miquel; Wegner, Eva; Benstead, Lindsay; Kincaid, Harold; Lust, Ellen; Vasquez, Juanita
- ItemMetadata onlyThe effect of non-personnel resources on educational outcomes: Evidence from South Africa(2015-05-28) Pellicer, Miquel; Piraino, Patrizio