Article navigation
Volume 17, Issue 2
1 January 1997
Studies in Economics and Finance Cover Image for Volume 17, Issue 2
Review Article| January 01 1997

INCOME‐CONSTRAINED PURCHASES OF INSURANCE AND ASSETS

Joseph G. Eisenhauer
Associate Professor, Department of Economics and Finance, Richard J. Wehle School of Business, Canisius College, Buffalo, NY 14208. This paper was completed during a sabbatical at the University of Pennsylvania's Wharton School of Business; the S. S. Huebner Foundation for Insurance Education provided partial funding. Doris Geide‐Stevenson, Harris Schlesinger, and an anonymous referee provided helpful comments on earlier drafts. Any errors are my own.
Search for other works by this author on:
This Site
PubMed
Google Scholar
Author & Article Information
Publisher: Emerald Publishing
Online ISSN: 1755-6791
Print ISSN: 1086-7376
© MCB UP Limited
1997
Studies in Economics and Finance (1997) 17 (2): 50–62.
https://doi.org/10.1108/eb028731

Insurance and asset holdings are modeled as the jointly determined outcomes of a constrained optimization problem. Consequently, (1) full coverage may be optimal despite limited premium loading, (2) insurance is normal if insurable assets are normal, (3) insurance cannot be a Giffen good, and (4) insurance is a complement to price‐elastic assets.

This content is only available via PDF.
© MCB UP Limited
1997
You do not currently have access to this content.
Don't already have an account? Register

Purchased this content as a guest? Enter your email address to restore access.

Pay-Per-View Access
$39.00
Rental
This article is also available for rental through DeepDyve. Read this now at DeepDyve
336 Views
1 Crossref

New and popular articles

How the banks diversify and how it affects their performance
Regime-switching connectedness among European football clubs: a TVP-VAR analysis of volatility states and structural shifts
Application of Bayesian and graph tools to a dynamic analysis of leadership relations among mutual funds
Perceived control and retail behavior in cryptocurrency markets: a moderated mediation analysis on simulated transactional data

Suggested Reading

Is crime Giffen?
Journal of Financial Crime (January,2009)
Is Giffen behaviour compatible with residential demand for cooking gas and kerosene?: Evidence from a state in Nigeria
International Journal of Energy Sector Management (April,2019)
Local brands for local people: How brand design and recession impact premium‐priced products
Strategic Direction (September,2010)
Foreign Exchange Risk in International Insurance and Reinsurance
Managerial Finance (January,1987)
An economic classification of “health need”
International Journal of Social Economics (February,2011)

Related Chapters

Insurance and Asset Prices in Constrained Markets
Functional Structure Inference
Reinsurance: A Risk Management Tool for the Insurance Sector
The Framework for Resilient Industry: A Holistic Approach for Developing Economies
Pharmaceutical policy in the Netherlands: From price regulation towards managed competition
Pharmaceutical Markets and Insurance Worldwide

Recommended for you

These recommendations are informed by your reading behaviors and indicated interests.

Cited By

Google Scholar
CrossRef (1)
This Feature Is Available To Subscribers Only

or Create an Account

Close Modal
Close Modal