A new integral for capacities, different from the Choquet integral, is introduced and characterized. The main feature of the new integral is concavity, which might be interpreted as uncertainty aversion. The integral is then extended to fuzzy capacities, which assign subjective expected values...

Investors systematically deviate from rationality when making financial decisions, yet the mechanisms responsible for these deviations have not been identified. Using event-related fMRI, we examined whether anticipatory neural activity would predict optimal and suboptimal choices in a financial...

In this paper we develop an improvement on one of the more popular methods for Value-at-Risk measurement, the historical simulation approach. The procedure we employ is the following: First, the density of the return on a portfolio is estimated using a non-parametric method, called a Gaussian...

Jump bidding is a commonly observed phenomenon that involves bidders in ascending auctions submitting bids higher than required by the auctioneer. Such behavior is typically explained as due to irrationality or to bidders signaling their value. We present field data that suggests such...

Over the last two years a research field has developed under the banner of 'neuroeconomics' in which recent neuroscientific methods are deploid to analyze economically relevant processes. This paper aims to provide an overview of the methodology and current state of neuroeconomic research by...

Location of product origin is an often-used marketing device by retailers. This approach is based on the assumption that location of origin signals something to consumers about the underlying quality (or other attributes) of the product. This can be an effective strategy if the signal matches...

Small and medium sized enterprises (KOBIs in Turkish) make up about 98 percent of all manufacturing firms in Turkey. They make a significant contribution to the economy in terms of output, employment, value-added and economic growth. Unfortunately, there seems to be many obstacles restraining...

We present a preliminary overview of a political stock market experiment we have conducted at the Universitaet Passau. This experiment differs from previous work (e.g. the renowned Iowa Electronic Markets) in that it is built on the call market institution rather than on double auction...

This paper considers the standard linear public goods game under two experimental conditions. The positive-frame condition is the regular public goods game that experimental economists have studied in the past. This frames the subject's choice as contributing to a public good, which will have a...