In comparison with the external wage structures of more economically advanced countries, almost every kind of wage differential is much wider in Japanese industries. In addition, the internal wage structure in many firms and industries is, to a large extent, a function of the age distribution of...

This paper axiomatizes a form of recursive utility on consumption processes that permits a role for ambiguity as well as risk. The model has two prominent special cases: (i) the recursive model of risk preference due to Kreps and Porteus [18]; and (ii) an intertemporal version of multiple-priors...

This paper derives an exact form of partial equilibrium efficiency measure under uncertainty which is consistent with expected utility maximization in a general equilibrium situation with ex-post spot markets for many goods and asset markets which are in general incomplete.

This paper presents an axiomatic model of decision making under uncertainty which incorporates objective but imprecise information. Information is assumed to take the form of a probability-possibility set, that is, a set $P$ of probability measures on the state space. The decision maker is told...

In this paper, we establish an axiomatically founded generalized recursive smooth ambiguity model that allows for a separation among intertemporal substitution, risk aversion, and ambiguity aversion. We axiomatize this model using two approaches: the second-order act approach à la Klibanoff et...

This article provides a simple decision theoretic model in which elements of the world successively enter the decision maker’s scope and the state space expands over time, which is intended to be the closest correspondence to the standard subjective expected utility theory. We propose a...

The world is facing serious resource shortage and environmental problems. Eco-efficiency is more attention for sustainable development not only in manufacturing sector but also agricultural sector. This study investigates whether Japanese agriculture improves its eco-efficiency. To conduct the...