This paper proposes a model of the decision-maker’s confidence in his probability judgements, in terms of an … comparative aversion to lack of confidence, or ambiguity aversion, and allows the definition of an ambiguity premium. It is shown …’s confidence. A simple portfolio example is presented. …

indeterminate if and only if her confidence in the relevant beliefs does not match up to the stakes involved in the decision. The … author uses the model of confidence in beliefs introduced in Hill (2013), and axiomatise a class of models, differing from …’s confidence from her attitude to choosing in the absence of confidence. The model naturally suggests two possible strategies for …

someone else, one’s later self, or nature – is for lack of sufficient confidence in the relevant beliefs. This paper develops … information asymmetry, is undertaken, and a simple multi-factor model of deferral – involving both confidence and information … considerations – is formulated. The model suggests that incorporating confidence can account for cases of deferral that traditional …

only if his confidence in the relevant beliefs does not match up to the stakes involved in the decision. It uses the model … of confidence in beliefs and the notion of stakes introduced in Hill (2010). <p> Firstly, a representation of deferral of …