We propose and axiomatize a new model of incomplete preferences under uncertainty, which we call hope-and-prepare preferences. An act is considered more desirable than another when, and only when, both an optimistic evaluation, computed as the welfare level attained in a best-case scenario, and...

We propose and axiomatize a new model of incomplete preferences under uncertainty, which we call hope-and-prepare preferences. An act is considered more desirable than another when, and only when, both an optimistic evaluation, computed as the welfare level attained in a best-case scenario, and...

Many real life choices concern consumption in future periods. Previous studies apparently demonstrate that people systematically mispredict future tastes in such situations. This evidence, however, is also consistent with the idea that people understand, but do not approve of their future...

Many real life choices concern consumption in future periods. Previous studies apparently demonstrate that people systematically mispredict future tastes in such situations. This evidence, however, is also consistent with the idea that people understand, but do not approve of their future...

Bounded rationality and, more specifically, satisficing in game playing assumes choosing strategies by anticipating their likely consequences. Unlike orthodox game theory, one does not require optimality and rational expectations but views satisficing as a reasoning process with several possible...

This paper presents an overview of recent research in neuroeconomics, in the light of the question how these relate to institutional economics. I present a critique of Glimcher's recent internalist standard model of neuroeconomics and put forward the claim that only an externalist approach can...

This paper presents an overview of recent research in neuroeconomics, in the light of the question how these relate to institutional economics. I present a critique of Glimcher's recent internalist standard model of neuroeconomics and put forward the claim that only an externalist approach can...

The notion of choice inconsistency is widely spread in the literature on behavioral economics. Several approaches were used to account for the observation that people reverse their choices over time. This paper aims to explain the formation of resolutions regarded as internal self-binding...