The phenomena of ambiguity and ambiguity aversion, introduced in Daniel Ellsberg's
seminal 1961 article, are ubiquitous in the real world and violate both the key rationality …

Standard economic models view risk taking and time discounting as two independent
dimensions of decision makers' behavior. However, mounting experimental evidence …

Consider agents who are heterogeneous in their preferences and wealth levels. These
agents may acquire information prior to choosing an investment that has a property of no …

Abstract Blackwell, 1951, Blackwell, 1953 proposes an informativeness ranking of
experiments: experiment I is more Blackwell-informative than experiment II if and only if the …

In this paper, due to limited attention and lack of focus, an agent has tendency toward
framing of available information that drives her to see the state space as a collection of the …

An information transaction entails the purchase of information. Formally, it consists of an
information structure together with a price. We develop an index of the appeal of information …

Ambiguity sensitive preferences must either fail Consequentialism or Dynamic Consistency
(DC), two properties that are compatible with subjective expected utility and form the basis of …

Chapter 1 considers agents that aggregate several states of the world (ie, the possible
different realizations of an uncertain situation) into an event. They then compare bundles of …