PT  - JOURNAL ARTICLE
AU  - Eggert, Håkan
AU  - Martinsson, Peter
TI  - Are Commercial Fishers Risk-Lovers?
AID  - 10.2307/3655810
DP  - 2004 Nov 01
TA  - Land Economics
PG  - 550--560
VI  - 80
IP  - 4
4099  - http://le.uwpress.org/content/80/4/550.short
4100  - http://le.uwpress.org/content/80/4/550.full
SO  - Land Econ2004 Nov 01; 80
AB  - Fishers are risk-averse according to most empirical studies, while expected-utility theory predicts risk neutrality even for sizable stakes. We test this prediction using data from a stated-choice experiment with Swedish commercial fishers. Our results show that only 48% of the fishers can be broadly characterized as risk-neutral, while 26% are modestly risk-averse, and 26% are strongly risk-averse. Fishers are more risk-neutral the higher the fraction of their household’s income comes from fishing. Sensitivity testing implies that modest stake decisions like a few days of fishing are not influenced by wealth level. (JEL D81; Q22)