Llorente, Loreto - In: Journal of Gambling Business and Economics 1 (2007) 2, pp. 147-163
under Quiggin's rank dependent expected utility (RDEU) model. They find that bettors have to be optimistic in order to … dependent expected utility maximizers, these inefficiencies tend to disappear. … return on bets there are inefficiencies in the market. In this paper we show that, given an assumption that bettors are rank …