Among the most popular models for decision under risk and uncertainty are the rank-dependent models, introduced by Quiggin and Schmeidler.Central concepts in these models are rank-dependence and comonotonicity.It has been suggested in the literature that these concepts are technical tools that...

This paper shows how de Finetti's book-making principle, commonly used to justify additive subjective probabilities, can be modi-ed to agree with some nonexpected utility models.More precisely, a new foundation of the rank-dependent models is presented that is based on a comonotonic extension of...

This paper presents a model for the "gambling effect," i.e., the effect that risky gambles are evaluated differently than riskless outcomes due to an intrinsic utility (or disutility) of gambling.The model turns out to violate stochastic dominance and therefore its primary applications will be...

In this paper, piecewise linear upper and lower bounds for univariate convex functions are derived that are only based on function value information. These upper and lower bounds can be used to approximate univariate convex functions. Furthermore, new Sandwich algo- rithms are proposed, that...

AMS classifications: 05C69; 90C35; 90C22;

Express service carriers provide time-guaranteed deliveries of parcels via a network consisting of nodes and hubs. In this, nodes take care of the collection and delivery of parcels, and hubs have the function to consolidate parcels in between the nodes. The tactical network design problem...

Polynomials, trigonometric polynomials, and rational functions are widely used for the discrete approximation of functions or simulation models.Often, it is known beforehand, that the underlying unknown function has certain properties, e.g. nonnegative or increasing on a certain region.However,...

AMS classification: 90C22, 20Cxx, 70-08

In the literature, methods for the construction of piecewise linear upper and lower bounds for the approximation of univariate convex functions have been proposed.We study the effect of the use of increasing convex or increasing concave transformations on the approximation of univariate (convex)...