Indeterminate preferences have long been a tricky subject for choice theory. One reason for which preferences may be less than fully determinate is the lack of confidence in one’s preferences. In this paper, a representation of confidence in preferences is proposed. It is used to develop an...

In this paper, the authors conduct a series of experiments that simulate trading in financial markets and which allows them to identify the different effects that subjects’ risk attitudes and belief updating rules have on the information content of the order flow. They find that there are very...

In this paper, the authors develop a dynamic model of trading with two specialized sides: traders posting quotes (“market makers”) and traders hitting quotes (“market takers”). Traders monitor the market to seize profit opportunities, generating high frequency make/take liquidity cycles....

In this paper, the authors characterize belief-free equilibria in infinitely repeated games with incomplete information with N \ge 2 players and arbitrary information structures. This characterization involves a new type of individual rational constraint linking the lowest equilibrium payoffs...

Brand names and other brand elements are often displayed on one’s body or clothes for the purpose of personal value expression. Despite the frequency of such brand displays in the marketplace, we know little about how consumers respond to seeing brands in this fashion. A recent view of...

Les notions de point de référence et d’aversion aux pertes sont deux éléments essentiels de la prospect theory, qui constitue à ce jour la théorie la plus reconnue concernant la représentation de la prise de décision individuelle dans le risque. L’objectif de cet article est de...

In a recent paper, Machina (2008) suggested choice problems in the spirit of Ellsberg (1961) which challenge tail-separability, an implication of Choquet Expected Utility (CEU) to a similar extent as the Ellsberg paradox challenged the sure-thing principle implied by Subjective Expected Utility...

The design of employment protection legislation (EPL) is of particular importance in the European debate on the contours of labor market reform. In this article we appeal to an equilibrium unemployment model to investigate the virtues of EPL reform which reduces the red tape and legal costs...

Since September 11, 2001; and during the ensuing economic slowdown, U.S airline companies have experienced significant financial difficulties, including bankruptcies and near bankruptcies on the part of several major carriers. In an economic setting where U.S. airlines are struggling to achieve or...

Dans cet article, l'auteur décrit et caractérise une forme minimale de coopération, correspondant aux actions de masse impliquant un grand nombre d'agents, telles des manifestations. Il en détaille les aspects intentionnel, épistémique,stratégique et téléologique, qui résultent pour la...