In an exchange economy with no aggregate uncertainty, and Bayesian agents, Pareto optimal allocations provide full insurance if and only if the agents have a common prior. It is hard to explain why there is relatively so little betting taking place. One is led to ask, when are full insurance...

In this paper we propose a theory of individual moral consistency and we examine some consequences of this theory in particular contexts. Our notion of individual moral consistency is interpreted as a means for 'laundering' individula objectives that are amalgamated into collective judgements by...

This paper extends the REPIH to allow for stochastic shifts in the utility function. The motivation for this is the substantial autonomous fluctuations in UK consumption at the business cycles and seasonal frequencies as well as the influence of demographics on preferences.

This paper outlines the origins of the utility function in terms of evolution and sexual selection. Altruistic behaviour between non-kin is found to be a result of a stable tit-for-tat solution to the prisoners' dilemma, combined with reputation effects, and an evolutionary drive to promote...

We show, in the Choquet expected utility model, that prefernece for diversification, that is, convex prefrences, is equivalent to a concave utility index and a convex capacity. We then introduce a weaker notion of diversification, namely "sure diversification". We show that this implies that the...

The paper explores the uniqueness properties of the subjective probabilities in two axiomatizations of state-dependent preferences. Karni, Schmeider and Vind's (KSV) system depends on selecting an arbitrary probability, ans as such, does not guarantee the uniqueness of the derived subjective...