---
_id: '46541'
abstract:
- lang: eng
  text: Theoretical papers show that optimal prevention decisions in the sense of
    selfprotection (i.e., primary prevention) depend not only on the level of (second-order)
    risk aversion but also on higher-order risk preferences such as prudence (third-order
    risk aversion). We study empirically whether these theoretical results hold and
    whether prudent individuals show less preventive (self-protection) effort than
    non-prudent individuals. We use a unique dataset that combines data on higher-order
    risk preferences and various measures of observed real-world prevention behavior.
    We find that prudent individuals indeed invest less in self-protection as measured
    by influenza vaccination. This result is driven by high risk individuals such
    as individuals >60 years of age or chronically ill. We do not find a clear empirical
    relationship between riskpreferences and prevention in the sense of self-insurance
    (i.e. secondary prevention). Neither risk aversion nor prudence is related to
    cancer screenings such as mammograms, Pap smears or X-rays of the lung.
author:
- first_name: Thomas
  full_name: Mayrhofer, Thomas
  last_name: Mayrhofer
- first_name: Hendrik
  full_name: Schmitz, Hendrik
  id: '48879'
  last_name: Schmitz
citation:
  ama: 'Mayrhofer T, Schmitz H. <i>Prudence and Prevention: Empirical Evidence</i>.
    Vol 863. RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum,
    TU Dortmund University, University of Duisburg-Essen; 2020.'
  apa: 'Mayrhofer, T., &#38; Schmitz, H. (2020). <i>Prudence and prevention: Empirical
    evidence</i> (Vol. 863). RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University
    Bochum, TU Dortmund University, University of Duisburg-Essen.'
  bibtex: '@book{Mayrhofer_Schmitz_2020, series={ Ruhr Economic Papers}, title={Prudence
    and prevention: Empirical evidence}, volume={863}, publisher={RWI - Leibniz-Institut
    für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University
    of Duisburg-Essen}, author={Mayrhofer, Thomas and Schmitz, Hendrik}, year={2020},
    collection={ Ruhr Economic Papers} }'
  chicago: 'Mayrhofer, Thomas, and Hendrik Schmitz. <i>Prudence and Prevention: Empirical
    Evidence</i>. Vol. 863.  Ruhr Economic Papers. RWI - Leibniz-Institut für Wirtschaftsforschung,
    Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen,
    2020.'
  ieee: 'T. Mayrhofer and H. Schmitz, <i>Prudence and prevention: Empirical evidence</i>,
    vol. 863. RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum,
    TU Dortmund University, University of Duisburg-Essen, 2020.'
  mla: 'Mayrhofer, Thomas, and Hendrik Schmitz. <i>Prudence and Prevention: Empirical
    Evidence</i>. RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University
    Bochum, TU Dortmund University, University of Duisburg-Essen, 2020.'
  short: 'T. Mayrhofer, H. Schmitz, Prudence and Prevention: Empirical Evidence, RWI
    - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund
    University, University of Duisburg-Essen, 2020.'
date_created: 2023-08-16T10:50:11Z
date_updated: 2023-08-20T17:55:46Z
department:
- _id: '281'
- _id: '475'
intvolume: '       863'
keyword:
- prudence
- risk preferences
- prevention
- vaccination
- screening
language:
- iso: eng
publisher: RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum,
  TU Dortmund University, University of Duisburg-Essen
series_title: ' Ruhr Economic Papers'
status: public
title: 'Prudence and prevention: Empirical evidence'
type: working_paper
user_id: '53779'
volume: 863
year: '2020'
...