Overconfidence is one of the most ubiquitous cognitive bias. There is copious evidence of overconfidence being relevant … overconfidence. Cognitive uncertainty represents a decision maker's uncertainty about her action optimality. We present a simple … model of overconfidence based on the concept of cognitive uncertainty. The model relates the concepts theoretically and …

Evidence on insurers' behavior in environments with both risk selection and market power is largely missing. We fill …. This policy increased enrollment into 5-star contracts, but without risk selection worsening. Our findings show that this …