Many economic decisions involve a substantial amount of uncertainty, and therefore crucially depend on how individuals process probabilistic information. In this paper, we investigate the capability for probability judgment in a representative sample of the German population. Our results show...

Uncertainty-seeking behavior is currently understood as the result of loss aversion which motivates a preference for the possibility to avoid or lessen an otherwise sure loss. However, when choosing among negative options on behalf of others, we offer responsibility aversion as another possible...

This paper extends Savage's subjective approach to probability and utility from decision problems under exogenous uncertainty to choice in strategic environments. Interactive uncertainty is modeled both explicitly, using hierarchies of preference relations, the analogue of beliefs hierarchies,...