Keynes (1921) and Ellsberg (1961) have articulated an aversion toward betting on an urn containing balls of two colors of unknown proportion to one with a 50-50 composition. Keynes views this as reflecting different preferences for bets arising from different sources of uncertainty. Ellsberg...

This paper investigates attitude towards partial ambiguity. In a laboratory setting, we study three symmetric variants of the ambiguous urn in Ellsberg's 2-urn paradox by varying the possible compositions of red and black cards in a 100-card deck. Subjects value betting on a deck with a smaller...

Two distinct interpretations of ambiguity attitudes have been proposed, namely, weighting the multiple priors pessimistically and exhibiting preference over different sources of uncertainty. This study examines the links among attitudes towards three sources of uncertainty including ambiguity...

We extend Ellsberg's two-urn paradox and propose three symmetric forms of partial ambiguity by limiting the possible compositions in a deck of 100 red and black cards in three ways. Interval ambiguity involves a symmetric range of 50-n to 50 n red cards. Complementarily, disjoint ambiguity...

It is increasingly recognized that decision making under uncertainty does not depend only on probabilities, but also on psychological factors. People display ambiguity aversion in preferring to bet on events with known probabilities rather than those for which probabilities are not known. People...

Purpose – This experimental economics study using brain imaging techniques investigates the risk-ambiguity distinction in relation to the source preference hypothesis (Fox & Tversky, 1995) in which identically distributed risks arising from different sources of uncertainty may engender...

Decision making under uncertainty depends not only on the likelihoods but also on the sources of uncertainty in terms of the degree of ambiguity, competence, and familiarity. This study goes beyond valuation experiments to examine the source dependence in the setting of gift exchange. We...