Suppose there are two periods, no discounting of future utility, no in- terest on savings, and overall utility function, Mg, (:2) = v(c1)+ 'U(C2) where v is strictly increasing, strictly concave, and differentiable. In period 1, the consumer is given a wealth of M, from which they can spend on period 1 consumption, or save for period 2 consumption. In the second period, the consumer faces a loss L