We study the ambiguity-adjusted return distribution induced by an investor with smooth ambiguity preferences 'a la Klibano! et al. (2005), who faces uncertainty about the variance of asset returns. The variance uncertainty is modeled using a gamma distribution, a second-order prior over the...

This paper develops an axiomatic framework for decision making when preferences depend not only on the current alternative but also on the past frequency with which alternatives have been chosen. We identify key independence axioms that characterize frequency-dependent preferences. In addition,...

Background: Despite advances in monitoring and forecasting systems, natural disasters continue to cause significant human losses. During the response phase, fast decisions are required to allocate limited resources, particularly rescue helicopters, which play a key role in reaching inaccessible...