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...

The paper examines how the timing of decisions shapes outcomes in coordination settings. Theoretically, the outcomes become predictable and efficient when decisions are made sequentially rather than simultaneously. Our experimental evidence shows that sequential moves promote remarkably high...