We present a theory of choice among lotteries in which the decision maker's attention is drawn to (precisely defined … payoffs, our model provides a novel and unified account of many empirical phenomena, including frequent risk-seeking behavior … distinguish it from Prospect Theory, which we test. We also use the model to modify the standard asset pricing framework, and use …

decision theory to characterize when learning or discriminating among competing probability models is challenging. I also use … choice theory under uncertainty to explore the ramifications of model uncertainty and learning in environments in which … underpinnings of asset pricing models. I illustrate how statistical ambiguity can alter the risk-return tradeoff familiar from asset …

exchange rate model, our analysis is based on either the risk-neutral PDF or arbitrage-based tests of target zones. The paper …

distributions of risks give rise to components of equilibrium prices that differ from the risk prices widely used in asset pricing … theory. A quantitative example highlights a representative investor's uncertainties about the size and persistence of …

life-cycle model for agricultural producers facing output and output price risk, with investment in an off …-farm, conditionally risk free asset, risky financial assets, savings, consumption, and agricultural production opportunities. This …

between the maximum daily return over the past one month (MAX) and expected stock returns. Average raw and risk …