Solutions to Three Functional Equations Arising from Different Ways of Measuring Utility
نویسندگان
چکیده
Ž. Utility of gains losses can be measured in four distinct ways: riskless vs risky Ž. choices and gains losses alone vs the gain-loss trade-off. Conditions forcing these measures all to be the same lead to functional equations, three of which are y1 w x y 1 w x F F X qF yY ZsF F XZ qF yYZ F : 0,1 ª 0, 1 ii w Ž. Ž. w w w Ž. w Ž. Ž. We determine all strictly increasing, surjective and thus continuous solutions of Ž. Ž. Ž. i and ii and all strictly increasing, surjective solutions of iii that are differen-w w Ž X x w.
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تاریخ انتشار 1996