Quantile Risk–Return Trade-Off

Uncertainty trade-off and disturbance trade-off for quantum measurements

An important non-classical feature of quantum measurements is the celebrated uncertainty trade-off, namely that the uncertainties in the outcomes of measurements performed on distinct yet identically prepared ensembles of systems cannot all be made arbitrarily small. Recently, we have shown that quantum measurements also exhibit another non-classical feature of disturbance trade-off namely, tha...

The Diversity-Bandwidth Trade-off

Utility-uncertainty Trade-off Structures*

A qualitative axiomatization of a generalization of expected utility theory is given in which the expected value of simple gambles is not necessarily the product of subjective probability and utility. Representation and uniqueness theorems for these generalized structures are derived for both Archimedean and nonarchimedean cases. It is also shown that a simple condition called distributivity is...

Probability and Time Trade-Off

P and time are integral dimensions of virtually any decision. To treat them together, we consider the prospect of receiving outcome x with a probability p at time t. We define risk and time distance, and show that if these two distances are traded off linearly, then preferences are characterized by three functions: a value function, a probability discount rate function, and a psychological dist...

A Poverty-Inequality Trade-off?

The idea that developing countries face a trade-off between poverty and inequality has had considerable influence on thinking about development policy. The experience of developing countries in the 1990s does not, however, reveal any sign of a systematic trade-off between measures of absolute poverty and relative inequality. Indeed, falling inequality tends to come with falling poverty incidenc...