Richard P. Larrick, Jack B. Soll, Bob Clemen, Tom Wallsten, Bob Winkler, ...
Averaging estimates is an effective way to improve accuracy when combining expert judgments, integrating group members ’ judgments, or using advice to modify personal judgments. If the estimates of...
A Theory of the Gambling Effect (2007)
Enrico Diecidue, Ulrich Schmidt, Peter P. Wakker
This paper presents a model for the "gambling effect," i.e., the effect that risky gambles are evaluated differently than riskless outcomes due to an intrinsic utility (or disutility) of...
ATheoryoftheGamblingE®ect (2007)
Enrico Diecidue, Ulrich Schmidt, Peter P. Wakker, Peterp. Wakkert
t: CentER,TilburgUniversity,TheNetherlands k: InstitutfÄurFinanzwissenschaftundSozialpolitik, Christian-Albrechts-UniversitÄatzuKiel,Germany September28,1999 This paper presents a model for the...
Comonotonic Book-Making with Nonadditive Probabilities (2000)
Enrico Diecidue, Peter P. Wakker
This paper shows how de Finetti's book-making principle, commonly used to justify additive subjective probabilities, can be modified to agree with some nonexpected utility models. More...
Deriving Harsanyi’s Utilitarianism from De Finetti’s Book-Making Argument
The book-making argument was introduced by de Finetti as a principle to prove the existence and uniqueness of subjective probabilities. It has subsequently been accepted as a principle of rationality...
Parametric Weighting Functions
Enrico Diecidue, Ulrich Schmidt, Horst Zank
This paper provides preference foundations for parametric weighting functions under rankdependent utility. This is achieved by decomposing the independence axiom of expected utility into separate...
Enrico Diecidue, Fabio Maccheroni
The Dutch book argument is a coherence condition for the existence of subjective probabilities. This note gives a general framework of analysis for this argument in a nonadditive probability setting....
On the Intuition of Rank-Dependent Utility.
Diecidue, Enrico, Wakker, Peter P
Among the most popular models for decision under risk and uncertainty are the rank-dependent models, introduced by Quiggin and Schmeidler. Central concepts in these models are rank-dependence and...
Eliciting decision weights by adapting de Finetti’s betting-odds method to prospect theory
Enrico Diecidue, Peter Wakker, Marcel Zeelenberg
Ambiguity, Prospect theory, Rank-dependent utility, Inverse-S, Pessimism, Optimism, D81, C60,
The Utility of Gambling Reconsidered
Enrico Diecidue, Ulrich Schmidt, Peter P. Wakker
The utility of gambling, which entails an intrinsic utility or disutility of risk, has been alluded to in the economics literature for over a century. This paper demonstrates that any utility of...
Parametric Weighting Functions
Diecidue, Enrico, Schmidt, Ulrich, Zank, Horst
This paper provides behavioral foundations for parametric weighting functions under rankdependent utility. This is achieved by decomposing the independence axiom of expected utility into separate...
ASPIRATION LEVEL, PROBABILITY OF SUCCESS AND FAILURE, AND EXPECTED UTILITY
Aspiration levels are a relevant aspect of decision making. We develop a model that includes the overall probabilities of success and failure relative to the aspiration level into an expected utility...
Shareholders' expectations, aspiration levels, and mergers
This paper offers a new explanation of value-reducing mergers and stock market driven takeovers by introducing recent research on aspiration levels and individual decision making under risk. If...
Reconciling support theory and the book-making principle
Enrico Diecidue, Dolchai La-ornual
Book-making principle, Support theory, Nonexpected utility, D81,
Parametric weighting functions
Diecidue, Enrico, Schmidt, Ulrich, Zank, Horst
This paper provides preference foundations for parametric weighting functions under rank-dependent utility. This is achieved by decomposing the independence axiom of expected utility into separate...