This article demonstrates that choices based on similarity judgments will exhibit not only common ratio and reflection effects under uncertainty but also common difference and reflection effects in intertemporal contexts. Copyright 2002, Oxford University Press.

Nonconvexities undermine the efficiency of the usually robust "double auction" or DA market institution. We experimentally examine two modified DAs that allow for particularly rich bilateral contracting such as arbitrarily nonlinear pricing. The first allows for arbitrarily nonlinear pricing but...

"Political economics views heterogeneity of political preferences largely as a reflection of heterogeneity in valuations of known policy outcomes. Voters, however, may be uncertain about policy outcomes, in part, because of uncertainty about how the economic world actually works. Heterogeneity...