JOURNAL ARTICLES
JOURNAL ARTICLES
Changes in Risk Attitudes Vary Across Domains Throughout the Life Course
Murray, N., Neyse, L. and Schröder, C. "Changes in risk attitudes vary across domains throughout the life course." Journal of Economic Behavior & Organization 212 (2023): 534-563.
Abstract: Risk attitudes are important predictors of various economic decisions and socioeconomic outcomes. Although studies show that peoples’ general willingness to take risks decreases with age, there are few reports on the age dependence of domain-specific risk attitudes. Drawing on the Socio-Economic Panel (SOEP), this study employs a proxy variable approach to disentangle age from periodic and cohort effects, while allowing the age effect to take a flexible functional form. Our analyses indicate that risk attitudes are domain-specific. Additionally, we show that age-profiles of general rather than domain-specific risk attitudes can lead to misleading results when they are used to predict life outcomes.
Estimating the Marginal Costs of Road Renewals: Evidence from a Duration Approach
Murray, N., and Link, H. "Estimating the Marginal Costs of Road Renewals: Evidence from a Duration Approach." Journal of Transport Economics and Policy (JTEP) 57.2 (2023): 104-130.
Abstract: Within an analytical approach that mirrors the relationship between road deterioration, traffic load, and road renewal, we estimate the marginal costs of road renewals as part of a social marginal cost scheme for road charging. Based on a comprehensive data set for German motor ways, we estimate a Weibull dura tion model with shared frailties that account for unobserved heterogeneity, including covariates such as traffic load and various controlvariables. Our results under line the importance of accounting for unobserved heterogeneity due to significant changes in the parameters of interest. We find a deterioration elasticity below one, implying that Newbery's fundamental theorem (Newbery, 1985) does not hold for German motor ways. The marginal cost makes up approximately 55 per cent of the average renewal cost.