Gamblers favor skewness, not risk: Further evidence from United States' lottery games

Authors
Garrett, TA Sobel, RS
Citation
Ta. Garrett et Rs. Sobel, Gamblers favor skewness, not risk: Further evidence from United States' lottery games, ECON LETT, 63(1), 1999, pp. 85-90
Citations number
9
Categorie Soggetti
Economics
Journal title
ECONOMICS LETTERS
ISSN journal
01651765 → ACNP
Volume
63
Issue
1
Year of publication
1999
Pages
85 - 90
Database
ISI
SICI code
0165-1765(199904)63:1<85:GFSNRF>2.0.ZU;2-0
Abstract
Theoretical models of risk have attempted to explain why risk-averse indivi duals take unfair gambles. Using all United States' lottery games, we find theoretical and empirical evidence that skewness of prize distributions exp lains why risk averse individuals may play the lottery. (C) 1999 Elsevier S cience S.A. All rights reserved.