Papers and Presentations

Paper: Insurance Contracts when Farmers “Greatly Value Certainty:” Results from Field Experiments in Burkina Faso

In discussing the paradoxical violation of expected utility theory that now bears his name, Maurice Allais noted that people tend to “greatly value,” or overweight, outcomes that are certain. Digging deeper, the Principal Investigator draws on the more recent work of Andreoni and Sprenger on a Discontinuous Preference for Certainty and show that that impact of the rebate framing on willingness to pay for insurance is driven by individuals who exhibit a well defined discontinuous preference for certainty.

Paper: Designing Index-based Insurance for Managing Asset Risk in Northern Kenya

The research team describes the methodology used to design the contract and its underlying index of predicted area-average livestock mortality in Index-based Livestock Insurance. The Principal Investigator describes the contract pricing and the risk exposures of the underwriter to establish IBLI’s reinsurability on international markets.

Presentation: Labor Markets and Poverty in Village Economies

About 1 billion people still live in extreme poverty.  With labor being their only outlet, understanding the link between labor market choices and poverty is key to poverty reduction. This presentation took place in Washington DC, United States on June 29, 2016 by BRAC.

Presentation: Heterogeneous Wealth Dynamics: The Role of Risk ans Ability

Poverty traps are commonplace in policy debates today, however, when these poverty traps exist what, where, why and for whom are the next series of questions. This presentation is based on the AMA Innovation Lab projects for the Conference on the Economics of Asset Dynamics and Poverty Traps.