commitment who faces Knightian uncertainty about security valuations at intermediate growth stages. The entrepreneur …’s uncertainty about valuation declines over time both because of horizon effects and through information revealed by prices of the …

The relationship between uncertainty and economic activity has attracted substantial interest in recent macroeconomics … literature. Empirical work has mostly focused on short-run and medium-term effects of uncertainty shocks. However, there are a … option' channels. This paper explores the effects that Macro uncertainty shocks can have at very long horizons. It does so …

Environmental managers face substantial uncertainty when deciding on management actions. To reduce this uncertainty … on the management cost, the assumed value of a good state and on the level of uncertainty regarding the ecological state …. In addition, we observe a negative relation between the relative management cost and the prior probability that maximises …

conclusions in both markets: first, price diffusion and jump ambiguity mainly determine detection-error probability; second …

observed time discounting can be explained by an aversion against future uncertainty rather than impatience. Future uncertainty …, although small, receives disproportional weight because subjects engage in subproportional probability weighting, an important …

The socioeconomic impact of pollution naturally comes with uncertainty due to, e.g., current new technological … scenario will be realised and the scientific debate is still open. This paper captures those two layers of uncertainty by …

uncertainty; that is, when uncertainty cannot be modeled with known probability distributions. Under these circumstances, the … and an aggregate abatement standard in terms of maximizing the range of uncertainty under which the welfare loss from … price-based or quantity-based control is more robust to unstructured uncertainty. Hence, not only does the relative slopes …

In this study, we present a behavioral definition of betrayal aversion with sources of uncertainty and develop a … betrayal aversion depend on the perception of uncertainty in each trust game. In terms of uncertainty attitudes, we show that … as trusters become more uncertainty-averse, they also become more betrayal-averse. Furthermore, we incorporate social …

We study the importance of uncertainty and public finance to the welfare ranking of three environmental policy … revenues finance public abatement. When the main source of uncertainty is economic, the most efficient recipe is to levy … pollution taxes and use the collected tax revenues to finance public abatement. However, when environmental uncertainty is the …

We view innovation investment as a real option and explore the implications of ambiguity (Knightian uncertainty) and …