Showing 1 - 10 of 97
Many violations of the independence axiom of expected utility can be traced to subjects' attraction to risk‐free prospects. The key axiom in this paper, negative certainty independence ([Dillenberger, 2010]), formalizes this tendency. Our main result is a utility representation of all...
Persistent link: https://www.econbiz.de/10011235024
Many violations of the Independence axiom of Expected Utility can be traced to subjects' attraction to risk-free prospects. Negative Certainty Independence, the key axiom in this paper, formalizes this tendency. Our main result is a utility representation of all preferences over monetary...
Persistent link: https://www.econbiz.de/10010822868
Many violations of the Independence axiom of Expected Utility can be traced to subjects' attraction to risk-free prospects. Negative Certainty Independence, the key axiom in this paper, formalizes this tendency. Our main result is a utility representation of all preferences over monetary...
Persistent link: https://www.econbiz.de/10010900778
Many violations of the Independence axiom of Expected Utility can be traced to subjects' attraction to risk-free prospects. The key axiom in this paper, Negative Certainty Independence (Dillenberger, 2010), formalizes this tendency. Our main result is a utility representation of all preferences...
Persistent link: https://www.econbiz.de/10010743117
Persistent link: https://www.econbiz.de/10002471952
Persistent link: https://www.econbiz.de/10002471962
Persistent link: https://www.econbiz.de/10002471968
This paper develops axiomatically a revealed preference theory of reference-dependent choice behavior. Instead of taking the reference for an agent as exogenously given in the description of a choice problem, we suitably relax the Weak Axiom of Revealed Preference to obtain, endogenously, the...
Persistent link: https://www.econbiz.de/10011107214
This paper studies, theoretically and empirically, the role of overconfidence in political behavior. Our model of overconfidence in beliefs predicts that overconfidence leads to ideological extremeness, increased voter turnout, and stronger partisan identification. The model also makes nuanced...
Persistent link: https://www.econbiz.de/10011156808
This paper studies, theoretically and empirically, the role of overconfidence in political behavior. Our model of overconfidence in beliefs predicts that overconfidence leads to ideological extremeness, increased voter turnout, and increased strength of partisan identification. Moreover, the...
Persistent link: https://www.econbiz.de/10011184252