This paper discusses the recent research on the consumption function that has attempted to relax the assumption of … lowers the level of consumption, increases the expected rate of growth of consumption, and increases the response of … consumption to news about income. Moreover, changes in the amount of uncertainty are a potentially important source of …

personal" consumption. It turns out that some types of transfers confer a sort of positive externality on" donees, some create …

Risk and time are intertwined. The present is known while the future is inherently risky. Discounted expected utility … robust violations of discounted expected utility, inconsistent with both prospect theory probability weighting and models …

This paper argues that the relation between temptations and the level of consumption plays a key role in explaining the … observed behaviors of the poor. Temptation goods are defined to be the set of goods that generate positive utility for the self … goods decreases with overall consumption, has a number of striking implications for the investment, savings, borrowing and …

an objective function that may be household expected utility. We show how to derive a target criterion that is: (i …-setting, in which the objective of policy is to maximize household expected utility …

simple intertemporal model featuring utility from accumulation is used here to examine consumption and savings, the choice …The possibility that individuals may derive utility from the mere fact of holding wealth has long been recognized. A … utility from accumulation helps to explain a number of empirical regularities that otherwise seem inconsistent with optimizing …

Are individuals expected utility maximizers? This question represents much more than academic curiosity. In a normative … utility maximization paradigm literally the only game in town. In this study, we advance the literature by exploring CEO … that both our CEO and student subject pools exhibit frequent and large departures from expected utility theory. In addition …