Professor Qiang Li graduated from Tianjin Medical University and got systematic training in surgical oncology in Princess Alexander Hospital of University of Queensland. He is expertised in surgical treatment of liver cancer, pancreatic cancer, and cholangiocarcinoma, especially in resection of high bile duct carcinoma and hilar cholangiocarcinoma. He is now vice president of Tianjin Medical Un...

We derive the optimal portfolio choice for an investor who behaves according to Cumulative Prospect Theory. The study is done in a oneperiod economy with one risk-free asset and one risky asset, and the reference point corresponds to the terminal wealth arising when the entire initial wealth is invested into the risk-free asset. When it exists, the optimal holding is a function of a generalized...

The prospect of gaining money is an incentive widely at play in the real world. Such monetary motivation might have particularly strong influence when the cognitive system is challenged, such as when needing to process conflicting stimulus inputs. Here, we employed manipulations of reward-prospect and attentional-preparation levels in a cued-Stroop stimulus conflict task, along with the high te...

M. Baraban,1 N. E. Bonesteel,2 and S. H. Simon3 1Department of Physics, Yale University, 217 Prospect Street, New Haven, Connecticut 06511, USA 2Department of Physics and National High Magnetic Field Laboratory, Florida State University, Tallahassee, Florida 32310, USA 3Rudolf Peierls Centre for Theoretical Physics, Oxford University, 1 Keble Road, Oxford OX1 3NP, United Kingdom (Received 24 Ma...

The representation of a comonotone-∨̌-additive and monotone functional L, defined on the class of functions from X to [−1, 1], by two Sugeno integrals have been presented. This representation is a generalization of certain previous results, which are useful for the Cumulative Prospect Theory.

Whilst Cumulative Prospect theory (CPT) provides an explanation of gambling on longshots at actuarially unfair odds, it cannot explain why people might bet on more favoured outcomes. This paper shows that this is explicable if the degree of loss aversion experienced by the agent is reduced for small-stake gambles (as a proportion of wealth), and probability distortions are greater over losses t...

People are sometimes risk-averse in gains but risk-loving in losses. Such behavior and other anomalies underlying prospect theory arise from a model of local status maximization in which consumers compare their wealth with other consumers of similar wealth. This social explanation shares key features with the psychological explanation offered by Kahneman and Tversky. JEL Classification: D81, D11

We study equilibrium trading strategies and market quality in an economy in which speculators display preferences consistent with Prospect Theory (Kahneman and Tversky, [39]; Tversky and Kahneman, [63]), i.e., loss aversion and mild risk seeking in losses. Loss aversion (risk seeking in losses) induces speculators to trade less (more), and less cautiously (more aggressively), with their private...

Prospect theory is currently the main descriptive theory of decision under uncertainty. It generalizes expected utility by introducing nonlinear decision weighting and loss aversion. A difficulty in the study of multiattribute utility under prospect theory is to determine when an attribute yields a gain or a loss. One possibility, which has been adopted in the existing theoretical literature on...