Definitions of sequential equilibrium and perfect equilibrium are given in games of imperfect recall. Subtleties regarding the definition are discussed. JEL Classification numbers: C70, D81.

A decision maker tests whether the gradient of loss function evaluated at a judgmental is zero. If test does not reject, action decision. rejects, sets equal to boundary rejection region. This statistical rule admissible and conditions on sample realization. The confidence level reflects maker’s aversion uncertainty. applied problem asset allocation. JEL Classification: C1, C11, C12, C13, D81

Article history: Received 29 July 2008 Received in revised form 15 December 2009 Accepted 17 December 2009 Available online xxxx JEL classification: D81 Q42

Article history: Received 30 April 2009 Received in revised form 12 January 2010 Accepted 20 January 2010 Available online 1 February 2010 JEL classification: D44 D81

Article history: Received 7 May 2012 Received in revised form 6 November 2012 Accepted 9 November 2012 Available online 17 November 2012 JEL classification: D81 Q40 G11

The objective of this paper is to provide continuous utility representation theorems analogous to Debreu’s classic utility representation theorem, albeit for preference relations that may fail to be complete and/or transitive. Specifically, we show that every (continuous and) reflexive binary relation on a (compact) metric space can be represented by means of the maxmin, or dually, minmax, of a...

This paper proposes a preference-based condition for stochastic independence of a randomizing device in a product state space. This condition, when imposed on Choquet Expected Utility preferences in a Savage framework displaying uncertainty aversion, results in a collapse to Expected Utility (EU). In contrast, Maxmin EU with multiple priors preferences continue to allow for a very wide variety ...

We study unique and globally attracting solutions of a general nonlinear equation that has as special cases some recursive equations widely used in Economics. JEL classification: D81 , D91

This paper suggests incorporating affective considerations into models of decision making and insurance decisions in particular. The model is based on, and explores the implication of, a distinction between two internal thinking processes. This distinction is supported by numerous studies in psychology, and is a formalization of what is often refered to as the dual processes theory. More specif...

Article history: Received 14 August 2013 Received in revised form 17 December 2013 Accepted 20 December 2013 Available online 8 January 2014 JEL classification: D81 Q54