Bleed or Blowup? Why Do We Prefer Asymmetric Payoffs?

Taleb, N. N. (2004). Bleed or Blowup? Why Do We Prefer Asymmetric Payoffs?. Journal of Behavioral Finance, 2-7.

Type

Journal article

Intellectual base

Primary research

Year

2004

DOI

10.1207/s15427579jpfm0501_1

Link

https://doi.org/10.1207/s15427579jpfm0501_1

Cited by

1 citation across 1 artifact.

Domain-specific

• Taleb Distribution
  • Taleb argues that “payoff” is more accurate because the exposure combines an uncertain state distribution with a nonlinear payoff function—for example, repeatedly selling protection produces capped premiums and potentially enormous contingent liabilities.

Verification

This reference passed the adversarial substantiation pipeline: it was checked to exist and to support the claim it is attached to. See how references were verified.

Registry ID ref:f0189b16c063 · see in the full table