Adding a stage of signal acquisition to the expected utility model shows that Bayesian updating results in a well … is removed. Signals mutually benefit homogeneous investors because revealing asset price permits updating so that a …

gains and losses against the belief's objective performance. Consistent with empirical evidence, belief updating in this … model is conservative and can be asymmetric, so that bad news is updated more conservatively than good news. These updating … are information seeking otherwise. Because belief updating depends on the decision problem in which new information is …

We show that ambiguity aversion increases the value of a statistical life as soon as the marginal utility of wealth is … higher if alive than dead. The intuition is that ambiguity aversion has a similar effect as an increase in the perceived … baseline mortality risk, and thus operates as the “dead anyway” effect. We suggest, however, that ambiguity aversion should …

contribution, the paper extends the smooth ambiguity model by providing a threefold disentanglement between, risk aversion …, ambiguity aversion, and the propensity to smooth consumption over time. …

This paper studies how updating affects ambiguity-attitude. In particular we focus on the generalized Bayesian update … be the same before and after updating. A necessary and sufficient condition for ambiguity-attitude to be unchanged when … whether ambiguity increases or decreases after updating. …

We study risk attitudes, ambiguity attitudes, and time preferences of 661 children and adolescents, aged ten to … mass index, are less likely to save money and show worse conduct at school. Experimental measures for risk and ambiguity …