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behavioural models suggested by psychology (i.e., weighted probabilities applied to regret and rejoice theory), and by updating …
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Prominent models such as maxmin expected utility/alpha-multiprior (MEU/ a -MP) and Klibanoff, Marinacci, and Mukerji (KMM) interpret ambiguity aversion as aversion against second-order risks associated with ambiguous acts. We design an experiment where the decision maker draws twice with...
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