they know more about, even when their beliefs are held constant. (They are averse to "ambiguity", or uncertainty about … probability.) We review evidence, recent theoretical explanations, and applications of research on ambiguity and SEU. …

Under risk, Arrow-Debreu equilibria can be implemented as Radner equilibria by continuous trading of few long … only possible if all discounted net trades of the equilibrium allocation are mean ambiguity-free. …

problem in a semi-closed form by integrating price diffusion ambiguity, volatility diffusion ambiguity, and jump ambiguity … conclusions in both markets: first, price diffusion and jump ambiguity mainly determine detection-error probability; second …, optimal choice is more significantly affected by price diffusion ambiguity than by jump ambiguity, and trivially affected by …

In this paper we investigate how volatility shocks influence investors' perceptions about a stock's risk, its future … shocks to increase risk similarly, while students do not perceive upwardlytrending shocks to increase the riskiness of the …

confidence and ambiguity attitudes in individual decision making. Different ambiguity settings not only can be determined by the … multistage experiment where subjects face different sources of ambiguity and where we are able to control for self …” ambiguity aversion. Our regressions show that the two measures are significantly correlated at the subject level, that the …

, with the game ranging from a zero-sum one to a coordination game. Meanwhile, the predictions by ambiguity aversion models …

to information differences (sampling bias), to a feature of preferences (ambiguity sensitivity) or to aspects of …

excuse-driven behavior is comparable under ambiguity and under risk. Individuals exploit any type of uncertainty as an excuse … individuals use this ambiguity strategically as a moral wiggle room to act less generously without feeling guilty. Such excuse …

notions of second- order risk. This finding is robust even when there is only partial ambiguity, and is applicable to all … (KMM) interpret ambiguity aversion as aversion against second-order risks associated with ambiguous acts. We design an … utility all predict unequivocally that risk-averse decision makers (DMs) will avoid the 50 - 50 urn that exhibits the highest …