Cumulative Prospect Theory of Tversky and Kahneman (1992) is the modern version of Prospect Theory (Kahneman and …. We present a generalization of Cumulative Prospect Theory which does not imply Gain-Loss Separability and is able to … explain the cited paradoxes. On the other hand, the new model, which we call the bipolar Cumulative Prospect Theory, genuinely …

. Employing the certainty equivalence principle, I built on insights from Cumulative Prospect Theory (CPT) to derive a continuous …

We extend the continuous Cumulative Prospect Theory (CPT) by considering piecewise con-tinuous distributions with a …

. Employing the certainty equivalence principle, I built on insights from Cumulative Prospect Theory (CPT) to derive a continuous …

. Employing the certainty equivalence principle, I built on insights from Cumulative Prospect Theory (CPT) to derive a continuous …

. Employing the certainty equivalence principle, I built on insights from Cumulative Prospect Theory (CPT) to derive a continuous …

evidence.  The two leading alternatives to EU are rank dependent utility (RDU) and cumulative prospect theory (CP). The main …

. Employing the certainty equivalence principle, I built on insights from Cumulative Prospect Theory (CPT) to derive a continuous …

positive prices. We correct some erroneous results about existence of equilibria with Cumulative Prospect Theory investors … agents. Specifically, some investors are classical Expected Utility Maximizers whereas some others follow Cumulative Prospect … Theory. Using well-known functional forms for the preferences, we analytically prove that a Security Market Line Theorem …

Starting from the theory of portfolio selection under Cumulative Prospect Theory (CPT) in a one period model, we …