We extend the original form of Prospect Theory by Kahneman and Tversky from finite lotteries to arbitrary probability distributions, thus paving the way for applications in economics and finance. Moreover, we suggest a method how to incorporate a crucial step of the “editing phase” into...

To distinguish continuous from discontinuous evolutionary change, a relation of nearness between phenotypes is needed. Such a relation is based on the probability of one phenotype being accessible from another through changes in the genotype. This is exemplified by calculating the shape...

It is shown that preferences can be constructed from observed choice behavior in a way that is robust to indifferent selection (i.e., the agent is indifferent between two alternatives but, nevertheless, is only observed selecting one of them). More precisely, a suggestion by Savage [Savage,...

This paper presents a family of multidimensional poverty indices that measure poverty as a function of the extent and the intensity of poverty. I provide a unique axiomatics from which both extent and intensity of poverty can be derived, as well as the poor be endogenously identified. This...

A single formula assigns a continuous utility function to every representable preference relation.

Sociological commentaries on the future are frequently built around the claim that we are witnessing the beginning of a new social phenomenon as a result of an existing one coming to an end. Recent examples of discussions framed in terms of new beginnings include reference to the emergence of...

It is shown that preferences can be constructed from observed choice behavior in a way that is robust to indifferent selection (i.e., the agent is indifferent between two alternatives but, nevertheless, is only observed selecting one of them). More precisely, a suggestion by Savage (1954) to...