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all symmetric equilibria of these voting games. Second, we show that ambiguity may drastically undermine McLennan's (1998 …) results on decision quality: unlike in the absence of ambiguity, the ex ante optimal symmetric strategy profile need not be an …
Persistent link: https://www.econbiz.de/10014487011
Allais (1952) was one of the first to propose an outcome dependent probability weighting function to characterize probability distortions that explain violations of the linear probability model for expected utility theory (EUT). Quantum probability theory (QPT) extends the probability distortion...
Persistent link: https://www.econbiz.de/10014115006
Sen?s social-evaluation-functional framework is used to reformulate Harsanyi?s social aggregation problem so that both single-profile and multi-profile issues can be considered with allowance made for different assumptions concerning the measurability and comparability of individual utilities....
Persistent link: https://www.econbiz.de/10014064487
We establish a class of fully nonlinear conditional expectations. Similarly to the usage of linear expectations when a probabilistic description of uncertainty is present, we observe analogue quantitative and qualitative properties. The type of nonlinearity captures the agents sentiments of...
Persistent link: https://www.econbiz.de/10010477162
ambiguity and ambiguity attitude. These preferences are dynamically inconsistent for nontrivial versions of α. In this paper, we …
Persistent link: https://www.econbiz.de/10011892184
Ausgangspunkt sind die bekannten empirischen Verstöße gegen Axiome der Bernoulli-Rationalität und die Diskussion um seine präskriptive Ausschließlichkeit. Der Beitrag teilt Nichterwartungsnutzenkalküle in Kategorien ein, die sich für eine Modellierung unterschiedlicher Arten von...
Persistent link: https://www.econbiz.de/10009005121
We propose a class of multiple-prior representations of preferences under ambiguity where the belief the decision … Optimism. The model does not restrict the sign of the DM's ambiguity attitude, and we show that it provides a unified framework … through which to characterize different degrees of ambiguity aversion, as well as to represent context-dependent negative and …
Persistent link: https://www.econbiz.de/10012064758
of beliefs (or ambiguity), imprecision of tastes (or multi-utility), and state dependence of utility. Examples include … phenomena, as well as state-dependent multi-utility generalisations of popular ambiguity models …
Persistent link: https://www.econbiz.de/10012120578
Observed individual behavior in the presence of ambiguity is characterized by insufficient responsiveness to changes in … subjective likelihoods. Such likelihood insensitivity under ambiguity is integral to theoretical models and predictive of … and determining factors. This paper investigates the role of beliefs in the form of ambiguity perception - the extent to …
Persistent link: https://www.econbiz.de/10013163191
This paper analyzes dynamic choice for ambiguity-sensitive decision makers. It demonstrates that unambiguous behavioral … sophisticated MEU preferences are then used to analyze the value of information under ambiguity; a basic trade-off between …
Persistent link: https://www.econbiz.de/10011691151