Showing 1 - 10 of 9,023
entrepreneurial priors, and Bayesian updating. The paper also explores connections to effectuation theory, finding that formal …
Persistent link: https://www.econbiz.de/10015326500
Global climate change and other environmental challenges require the development of new energy technologies with lower emissions. In the near-term, R&D investments, either by government or the private sector, can bring down the costs of these lower emission technologies. However, the results of...
Persistent link: https://www.econbiz.de/10012457272
equilibrium model with a fund offering the risk-adjusted market portfolio (RAMP), ambiguity averse investors hold the fund and an … optimal portfolio based on only one information source (price versus private signal). Asset risk premia satisfy the CAPM with …
Persistent link: https://www.econbiz.de/10012453570
.S. household survey, we measure ambiguity aversion using custom- designed questions based on Ellsberg urns. As theory predicts …
Persistent link: https://www.econbiz.de/10012459919
Investor sophistication has lagged behind the growing complexity of retail financial markets. To explore this, we develop a dynamic model to study the interaction between obfuscation and investor sophistication. Taking into account different learning mechanisms within the investor population, we...
Persistent link: https://www.econbiz.de/10012463695
Uncertainty is a ubiquitous concern emphasized by policymakers. We study how uncertainty affects decision-making by the Federal Open Market Committee (FOMC). We distinguish between the notion of Fed-managed uncertainty vis-a-vis uncertainty that emanates from within the economy and which the Fed...
Persistent link: https://www.econbiz.de/10014436980
Social interactions make communicable disease a core concern of public health policy. A prevalent problem is scarcity of empirical evidence that are informative about how interventions affect population behavior and illness. Randomized trials, which have been important to evaluation of...
Persistent link: https://www.econbiz.de/10012458235
We review and extend the economic analysis of risk and uncertainty as it relates to behavior mitigating health shocks … for risk-sharing in health by pooling the health care spending risk. In a sense, medical innovation involves a current …
Persistent link: https://www.econbiz.de/10012459657
probabilistic terms: we are facing deep uncertainty or ambiguity rather than risk in the classical sense, rendering the classical …
Persistent link: https://www.econbiz.de/10012459732
Time-inconsistency of no-bailout policies can create incentives for banks to take excessive risks and generate endogenous crises when the government cannot commit. However, at the outbreak of financial problems, usually the government is uncertain about their nature, and hence it may delay...
Persistent link: https://www.econbiz.de/10012459895