Narrow search
Showing 1 - 10 of 1,579
Cover Image
Rank Dependent Utility, Tax Evasion and Labor Supply
Eide, Erling - 2010
payers act according to some non-expected utility theory, and (2) Individual ethical norms and social stigma induce people … subjective probabilities of being penalised according to the rank dependent utility theory, and (2) Tax payers' beliefs about … utility theory. The model explains data 53% better than pure random choices and predicts hours worked in the regular economy …
Persistent link: https://www.econbiz.de/10013136684
Cover Image
Risk Aversion and Prudence in Contests
Sahm, Marco - 2017
I examine the impact of risk preferences on efforts and winning probabilities in generalised Tullock contests between two players. The theoretical analysis yields two main results. First, I specify a sufficient condition on the agents' comparative prudence under which a higher common level of...
Persistent link: https://www.econbiz.de/10012956876
Cover Image
International Environmental Agreements with Uncertainty, Learning and Risk Aversion
Finus, Michael - 2014
This paper analyses the formation of international environmental agreements (IEAs) under uncertainty, focusing on the role of learning and risk aversion. It bridges two strands of literature: one focused on the role learning for the success of IEA formation when countries are risk neutral and...
Persistent link: https://www.econbiz.de/10013059058
Cover Image
When is Ambiguity-Attitude Constant?
Eichberger, Jürgen; Grant, Simon; Kelsey, David - 2021
This paper studies how updating affects ambiguity-attitude. In particular we focus on the generalized Bayesian update of the Jaffray-Phillipe sub-class of Choquet Expected Utility preferences. We find conditions for ambiguity-attitude to be the same before and after updating. A necessary and...
Persistent link: https://www.econbiz.de/10013315928
Cover Image
Beliefs and Utility : Experimental Evidence on Preferences for Information
Falk, Armin - 2016
Beliefs are a central determinant of behavior. Recent models assume that beliefs about or the anticipation of future consumption have direct utility consequences. This gives rise to informational preferences, i.e., preferences over the timing and structure of information. Using a novel and...
Persistent link: https://www.econbiz.de/10012981291
Cover Image
Once Upon a Time Preference - How Rationality and Risk Aversion Change the Rationale for Discounting
Traeger, Christian - CESifo - 2012
The paper develops an axiomatic framework for rational decision making. The von Neumann-Morgenstern axioms give rise to a richer risk attitude than that captured in the standard discounted expected utility model. I derive three models that permit a more comprehensive risk evaluation. These...
Persistent link: https://www.econbiz.de/10010544183
Cover Image
The Dead-anyway Effect Revis(it)ed
Breyer, Friedrich; Felder, Stefan - CESifo - 2002
In the expected-utility theory of the monetary value of a statistical life, the so-called “dead-anyway” effect …
Persistent link: https://www.econbiz.de/10005405707
Cover Image
Risk Aversion and the Subjective Time Discount Rate: A Joint Approach
Praag, Bernard M.S. van; Booij, Adam S. - CESifo - 2003
In this paper we analyze a large sample of individual responses to six lottery questions. We derive a simultaneous estimate of risk aversion and the time preference discount rate per individual. This can be done because the consumption of a large prize is smoothed over a larger time period. It...
Persistent link: https://www.econbiz.de/10005416458
Cover Image
Implementation of Communication Equilibria by Correlated Cheap Talk : The Two-Player Case
Vida, Peter - 2011
We show that essentially every communication equilibrium of any finite Bayesian game with two players can be implemented as a strategic form correlated equilibrium of an extended game, in which before choosing actions as in the Bayesian game, the players engage in a possibly infinitely long (but...
Persistent link: https://www.econbiz.de/10013128960
Cover Image
Ageing, Government Budgets, Retirement, and Growth
Gonzalez-Eiras, Martín - 2011
We analyze the short and long run effects of demographic ageing - increased longevity and reduced fertility - on per-capita growth. The OLG model captures direct effects, working through adjustments in the savings rate, labor supply, and capital deepening, and indirect effects, working through...
Persistent link: https://www.econbiz.de/10013129861