The concept of Ambiguity designates those situations where the information available to the decision maker is …? The present paper fills these gaps. Specifically, it identifies those information structures that are incompatible with … information. These are used to give a formal definition of Ambiguity and, consequently, to distinguish between ambiguous and …

Information Between the Insured and the Insurer. Experience Rating Is Treated As the Acquisition of Information by Both Parties to … the Insurance Contract. When the Insured Buys Insurance Before Information Is Revealed, He Buys Two Types of Insurance … Second Type of Insurance. However, Information Does Not Always Reduce Welfare. We Show That When the Insured Engages Is …