We present two new notions of evolutionary stability, the trulyevolutionarily stable state (TESS) and the generalized evolutionarilystable equilibrium (GESE). The GESE generalizes the evolutionar-ily stable equilibrium (ESE) of Joosten [1996]. An ESE attracts allnearby trajectories...

Behavioral (e.g. consumption) patterns of boundedly rational agents can lead these agents intolearning dynamics that appear to be “wasteful” in terms of well-being or welfare. Within settingsdisplaying preference endogeneity, it is however still unclear how to conceptualize well-being.This...

In order to explain the growth of obesity in industrialized and transitioneconomies, a behavioral approach to food intake and overconsumption of caloriesis presented. It is argued that changes in food consumption patterns are one of themain drivers behind the imbalance of calories consumed and...

This paper shows how sustainable consumption patterns can spread within a population viaprocesses of social learning even though a strong individual learning bias may favorenvironmentally harmful products. We present a model depicting how the biased transmission ofdifferent behaviors via...

Interdependencies in consumer behavior stem from either status-seeking consumption orcompliance with social norms. This paper analyzes how a consumption act changes froma means to signal the consumer’s status to a means of norm compliance. It is shown thatsuch a transformation can only be...

In the standard CAPM with a riskless asset we give a simple proof of existence of equilibria without assuming concavity of the investor's utility functions. Moreover, we give a uniqueness result using assumptions on the risk aversion of investors.

The paper examines questions of local asymptotic stability of randomdynamical systems. Results concerning stochastic dynamics ingeneral metric spaces, as well as in Banach spaces, are obtained. Theresults pertaining to Banach spaces are based on the linearization ofthe systems under study. The...

Scotchmer and Wooders (1987) show that efficient clubs are homogeneouswhen consumers are divisible in Berglas’s (1976) anonymouscrowding model. However, if consumers are not divisible or ifclubs have multiple facilities with economies of scope, mixed clubs areefficient. In such a model, we...

In games with strategic substitutes (GSS), convergence of the best response dynamic startingfrom the inf (or sup) of the strategy space is equivalent to global stability (convergence ofevery adaptive dynamic to the same pure strategy Nash equilibrium). Consequently, inGSS, global stability can...

Considered here is on-line portfolio management aimed at maximizing the long-run growth of financial wealth. The portfolio is repeatedly rebalanced in response to observed returns on diverse assets. Suppose statistical information and related methods are not available - or deemed too diffcult....