Blocked Course:
Economic Foundations and Applications of Risk (LMU, 2024)
Dates & Location
- 08./09./10.10. 2024 — 10:00-17:00
- Schellingstraße 3
- Room 203
Lecture slides
0. Introduction [Slides] [Annotated Slides]
A. Foundations
Chapter 1: Expected Utility Theory [Slides] [Annotated Slides]
Chapter 2: Measures of Risk Aversion [Slides] [Annotated Slides]
Chapter 3: Measures of Risk [Slides] [Annotated Slides]
B. Applications
Chapter 4: Optimal Portfolio Choice [Slides] [Annotated Slides]
Chapter 5: Insurance Markets [Skipped: See Insurance Economics Lecture next semester]
Chapter 6: Firms under Uncertainty [Slides] [Annotated Slides]
Chapter 7: Pareto Efficient Allocation of State-Dependent Income [Slides] [Annotated Slides]
Chapter 8: The Value of Information [Slides] [Annotated Slides]
A. Foundations
Chapter 1: Expected Utility Theory [Slides] [Annotated Slides]
Chapter 2: Measures of Risk Aversion [Slides] [Annotated Slides]
Chapter 3: Measures of Risk [Slides] [Annotated Slides]
B. Applications
Chapter 4: Optimal Portfolio Choice [Slides] [Annotated Slides]
Chapter 5: Insurance Markets [Skipped: See Insurance Economics Lecture next semester]
Chapter 6: Firms under Uncertainty [Slides] [Annotated Slides]
Chapter 7: Pareto Efficient Allocation of State-Dependent Income [Slides] [Annotated Slides]
Chapter 8: The Value of Information [Slides] [Annotated Slides]
Exercises
- Exercises for Foundations (Chapters 1-3) [Exercises 1]
- Exercises for Applications (Chapters 4-8) [Exercises 2] [Solution to Exercise 1b]
- Exercise Solutions & Class Notes [Day 1] [Day 2] [Day 3]
Old exam
- Exam 2023 [Exam] [Solution]
- Recommendation: Try to solve the exam on your own before looking at the solution