A choice problem is risky (respectively ambiguous) if the decision maker is choosing between probability distributions (respectively sets of probability distributions) over utility relevant consequences. We provide an axiomatic foundation for and a representation of continuous linear preferences...

A choice problem is risky (respectively ambiguous) if the decision maker is choosing between probability distributions (respectively sets of probability distributions) over utility relevant consequences. We provide an axiomatic foundation for and a representation of continuous linear preferences...

From Breiman et al. [...] are singleton sets, this is the Blackwell and Dubins [2] version of Skorohod's representation theorem.

A choice problem is risky (respectively ambiguous) if the decision maker is choosing between probability distributions (respectively sets of probability distributions) over utility relevant consequences. We provide an axiomatic foundation for and a representation of continuous linear preferences...

A multiple-prior decision maker is open-minded if she can describe, as subjective uncertainty, all convex sets of distributions over payoff relevant consequences. Theorem 1: open-mindedness is equivalent to the ability to subjectively describe both the uniform distribution on an interval and the...

This paper studies health insurance over the life-cycle with adverse selection to analyze the welfare implications of the Aordable Care Act of 2010 that targets at improving the access to health insurance for the uninsured. For this purpose, this study develops a life-cycle model following...

This paper considers dynamic moral hazard settings, in which the consequences of the agent's actions is not precisely understood. In a new continuous-time principal-agent model with drift ambiguity, the agent's unobservable action translates to drift set for the diffusion processes that describe...