This paper provides an axiomatic foundation for decision making in complex settings in which the decision maker does not have complete structural knowledge of the environment. The agent knows the set of actions he can take, he formulates preferences directly on the actions, and chooses according...

This paper provides an analysis of the asymptotic properties of Pareto optimal consumption allocations in a stochastic general equilibrium model with heterogeneous consumers. In particular, we investigate the market selection hypothesis that markets favor traders with more accurate beliefs. We...

The problem of controlling a stochastic process, with unknown parameters over an infinite horizon, with discounting is considered. Agents express beliefs about unknown parameters in terms of distributions. Under general conditions, the sequence of beliefs converges to a limit distribution. The...