This chapter presents several applications of stochastic dominance to economics.

In this …rst section, we discuss the shapes of indi¤erence curves for risk averters, risk seekers and risk-neutral investors for generalized utility functions. Next, we will discuss the relationships among the FSD, SSD and MS e¢ cient sets. In addition, we will discuss the relationship between risk aversion and the indi¤erence curve slope.