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    Author(s): Patricia A. Champ; James R. Meldrum; Hannah Brenkert-Smith; Travis W. Warziniack; Christopher M. Barth; Lilia C. Falk; Jamie B. Gomez
    Date: 2019
    Source: Journal of Economic Behavior and Organization. 169: 301-313.
    Publication Series: Scientific Journal (JRNL)
    Station: Rocky Mountain Research Station
    PDF: Download Publication  (1.0 MB)

    Description

    In this article, we empirically examine whether the relationship between risk aversion and self-reported risk mitigating behavior is similar to the relationship between risk aversion and an objective measure of risk mitigating behavior. Despite higher levels of risk mitigation in the self-reported measure relative to the objective measure, we find risk aversion is similarly correlated with both measures of wildfire risk mitigation. These results provide some confidence in the use of self-reported behaviors in examinations of risk preferences and risky behaviors, even if the self-reports understate objective behavioral measures.

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    Citation

    Champ, Patricia A.; Meldrum, James R.; Brenkert-Smith, Hannah; Warziniack, Travis W.; Barth, Christopher M.; Falk, Lilia C.; Gomez, Jamie B. 2019. Do actions speak louder than words? Comparing the effect of risk aversion on objective and self-reported mitigation measures. Journal of Economic Behavior and Organization. 169: 301-313.

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    Keywords

    risk preferences, risk aversion, risk mitigation, risky behavior, wildfire, self-reported behavior, objective behavior measure

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