Choice under Uncertainty with the Best and Worstin Mind: Neo-additive Capacities

The concept of a non-extreme-outcome-additive capacity (neo-additive capacity ) is introduced.Neo-additive capacitiesmodel optimistic and pessimistic attitudes towards uncertaintyas observed in many experimental studies. Moreover, neo-additive capacities canbe applied easily in economic problems, aswe demonstrate by examples. This paper providesan axiomatisation of Choquet expected utility with neo-capacities in a frameworkof purely subjective uncertainty....

MoreLess

Year of publication:	2002-09-01
Authors:	Chateauneuf, Alain ; Eichberger, Jürgen ; Grant, Simon
Institutions:	Alfred-Weber-Institut für Sozial- und Staatswissenschaften <Heidelberg>
Subject:	Portfolio Selection \| Unsicherheit \| Experimentelle Wirtschaftsforschung \| experiment

More details

Extent:	396288 bytes 45 p. application/pdf
Series:	Alfred-Weber-Institut - Publications Discussion Paper ; No. 393 (2003)
Type of publication:	Book / Working Paper
Language:	English
Classification:	D81 - Criteria for Decision-Making under Risk and Uncertainty ; Forecast, decision making ; Financial theory ; Individual Working Papers, Preprints ; No country specification
Source:	USB Cologne (business full texts)

Persistent link: https://www.econbiz.de/10005868474