-time limit of our model with no uncertainty and no risk-aversion. Focusing on the continuous-time limit of the infinite horizon … inversely related to the degrees of uncertainty and risk-aversion. However, the effect of uncertainty and risk … with uncertainty and risk aversion collapses to Fershtman and Kamien’s analogue. …

rates. The single agent, in a dynamic exchange economy, treats the conditional uncertainty about the consumption and … dividends next period as ambiguous. We calibrate the agent's ambiguity aversion to match only the first moment of the risk …-free rate in data and measure the uncertainty each period conditional on the actual, observed histroy of (U.S.) macroeconomic …

We review some of the (theoretical) economic implications of David Schmeidler's models of decision under uncertainty …

The paper clarifies the link between changes in risk aversion and the effect on the consumption discount rate. In a … general framework that can cope with various forms of uncertainty, it is shown that the response of the consumption discount … of this general result to specific forms of uncertainty extends existing results to more general forms of risk and yields …

statics of more ambiguous in a standard portfolio problem and a consumption-saving problem. …