uncertainty into Integrated Assessment Models (IAMs). Uncertainty is transformed into a risk-premium, damage-correction, region …. This risk premium quantifies what society would be willing to pay to insure against the uncertainty of the damages, and it …

Maximising expected value is the classic doctrine in choice theory under empirical uncertainty, and a prominent … proposal in the emerging literature on normative uncertainty, i.e., uncertainty about the standard of evaluation. But how … difference lies in the perspective from which expectations are taken, or equivalently the amount of uncertainty packed into the …

oligopoly characterized by a homogeneous non-storable good, sticky prices and uncertainty. Our model nests the classical dynamic …-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 …

, such as decision under Knightian uncertainty, the dynamics of economic (in)stability, and the voters’ preferences over …

activity on optimal consumption and investment. Here, learning introduces two sources of risk about future payoffs: structural … uncertainty and uncertainty from the anticipation of learning. The latter renders control and learning nonseparable. We present … decreases optimal consumption are provided. The effect depends on the strengths and directions of the two sources of risk, which …

asset pricing uncertainty premia and design of robust macroeconomic policies. …

We present a model of firm investment under uncertainty and partial irreversibility in which uncertainty is represented … by a jump diffusion. This allows to represent both the continuous Gaussian volatility and the discontinuous uncertainty … related to information arrival, sudden changes and large shocks. The model shows how both sources of uncertainty negatively …

-world quantities with transparent uncertainty quantification, than when based on “optimal” model-land quantities obtained from …