This paper reports the results of an experiment in which probabilistic insurance, as proposed by Kahneman and Tversky (1979), is compared both with full insurance and no insurance. The experimental results conform to the intuitive prediction that risk-averse agents who are indifferent between...

We face the problem of allocationg a fixed amount of a perfectly divisible good among a group of agents with single-peaked preferences. We survey the three different cases studied in the literature: the pure distribution case, the redistribution case, and the gerneral case. The so called general...

In this paper we explore the notion that players are “decent” in the sense that their choices are bounded by certain unwritten social rules. We apply this idea to problems of Bankruptcy and Implementation. Copyright Springer-Verlag Berlin/Heidelberg 2004