In this paper I provide a solution to Proebsting's Paradox, an argument that appears to show that the investment rule known as the Kelly criterion can lead a decision maker to invest a higher fraction of his wealth the more unfavorable the odds he faces are and, as a consequence, risk an...

For each individual with von Neumann and Morgernstern's preferences and for each gamble that can take negative values yet has positive expected value we calculate separately the reservation values of the losses and of the gains of the gamble and denote those values by risk and reward,...

I investigate the existence of epistemic models for complete information games that satisfy the following properties: (R) players do not rule out their opponents use rational ex ante strategies for deriving their choices, (K) they do not rule out, ex ante, that they can come to know the action...