A number of authors have suggested that investors derive utility from realizing gains and losses on assets that they own. We present a model of this quot;realization utility,quot; analyze its predictions, and show that it can shed light on a number of puzzling facts. These include the...

The problem is considered as to whether a monotone function defined on a subset of Euclidean space can be strictly monotonically extended to . It is proved that this is the case if and only if the function is Explicit formulas are given for a class of extensions which involves an arbitrary...

Let X be a connected metric space, let N be the set of natural numbers, and let be a preference order defined on a suitable subset of X^N. I characterize when has a Cesàro average utility representation. This means that there is a continuous function u from X into the real numbers, such that...

This paper uses the notion of augmented utility to summarize models of utility maximization (MUM). The models covered include non-separable utility maximization and common behavioral models of discounting. Moreover, the paper provides as novel special cases necessary and sufficient conditions...

We reconsider the theory of Thompson aggregators proposed by Mari-nacci and Montrucchio. We demonstrate the Koopmans equation has a unique utility function solution given a Thompson aggregator. Uniqueness holds only on the interior of the commodity spaces positive cone.Our proof veries the...

From Project economics prospective, EE options are seen as"no regrets" policies, since their net financial cost can be negative, i.e., the measures are justified purely on high financial returns. The justifiable factor is aligning programs to behavioral attitudes for utility's financial...

We develop a theory of “risky utilities”, i.e. private firms that manage an infrastructure for public service, and that may be tempted to engage in excessively risky activities, such as reducing maintenance expenditures (at the risk of provoking a break-down of the system) or in speculation...