1,354,798 research outputs found
Precautionary principle as a rule of choice with optimism on windfall gains and pessimism on catatrophic losses
No full textInternational audienceThe paper investigates a decision-making process involving both risk and ambiguity. Differently from existing papers [Basili, M., Chateauneuf, A., Fontini, F., 2005. Choices under ambiguity with familiar and unfamiliar outcomes, Theory and Decision 58, 195-207; Chichilnisky, G., 2000. Axiomatic approach to choice under uncertainty with catastrophic risks. Resources and Energy Economics 22, 221-231; Chichilnisky, G., 2002. In: El-Shaarawi, A.,H., Piegorsch, W.W. (Eds.), Catastropic Risks. Encyclopedia of Environmetrics, vol. 1. John Wiley & Sons, Ltd, Chichester, UK, pp. 274-279], we assume that, in a Choquet Expected Utility framework, the decision-maker is pessimistic with respect to unfamiliar (catastrophic) losses, optimistic with respect to unfamiliar (windfall) gains and ambiguity-neutral with respect to the familiar world. A representation of the decision-maker's choice is obtained that mimics the Restricted Bayes-Hurwicz Criterion. In this way a characterization of the Precautionary Principle is introduced for decision-making processes under ambiguity with catastrophic losses and/or windfall gains
Choices Under Risk and Ambiguity with Familiar and Unfamiliar Outcomes
No full textThis paper considers a decision-making process under ambiguity in which the decision-maker is supposed to split outcomes between familiar and unfamiliar ones. She is assumed to behave differently with respect to unfamiliar gains, unfamiliar losses and customary (familiar) outcomes. In particular, she is supposed to be pessimistic on gains, optimistic on losses and ambiguity neutral on the familiar outcomes. A generalization of the usual Choquet Integral is formalized when the decision maker holds capacities and probabilities. A characterization of the decision-maker’s behavior is provided for a specific subset of capacities, in which it is shown that the decision-maker underestimates the unfamiliar outcomes while is linear in probabilities on customary ones
Self quenching reaction of (Phenoxymethyl) chlorocarbene with diazirine
No full textThe combination of laser flash photolysis and product analysis demonstrates that even though (phenoxymethyl)chlorocarbene reacts with its diazirine precursor with a substantial rate constant of 3.5 x 10(8) M(-1)s(-1), the predicted azine product is not formed. These results indicate either carbene/diazirine reversibility or subsequent hydrogen migration of the carbene/diazirine adduct. Also, a rate constant of 2.0 x 10(7) s(-1) for the 12-hydrogen atom migration in (p-nitrophenoxymethyl)chlorocarbene has been determined using the pyridinium ylide technique.PT: J; CR: CHATEAUNEUF JE, 1991, J ORG CHEM, V56, P5942 GRAHAM WH, 1965, J AM CHEM SOC, V87, P4396 LIU MTH, 1992, J AM CHEM SOC, V114, P3604 LIU MTH, 1992, J PHOTOCH PHOTOBIO A, V63, P115 MORGAN S, 1991, J AM CHEM SOC, V113, P2782 MOSS RA, 1990, J AM CHEM SOC, V112, P5642 MOSS RA, 1990, KINETICS SPECTROSCOP; NR: 7; TC: 6; J9: RES CHEM INTERMEDIATES; PG: 5; GA: ND525Source type: Electronic(1
Choices Under Risk and Uncertainty with Windfall Gains and Catastrophic Losses
No full textThis paper considers a decision-making process under ambiguity in which the decision-maker is supposed to split outcomes between familiar and unfamiliar ones. She is assumed to behave differently with respect to unfamiliar gains, unfamiliar losses and customary (familiar) outcomes. In particular, she is supposed to be pessimistic on gains, optimistic on losses and ambiguity neutral on the familiar outcomes. A generalization of the usual Choquet integral is formalized when the decision-maker holds both capacities and probabilities. A characterization of the decision-maker's behaviour is provided for a specific subset of capacities, in which it is shown that the decision-maker underestimates the unfamiliar outcomes while is linear in probabilities on customary ones
Choices Under Risk and Uncertainty with Windfall Gains and Catastrophic Losses
No full textThis paper considers a decision-making process under ambiguity in which the decision-maker is supposed to split outcomes between familiar and unfamiliar ones. She is assumed to behave differently with respect to unfamiliar gains, unfamiliar losses and customary (familiar) outcomes. In particular, she is supposed to be pessimistic on gains, optimistic on losses and ambiguity neutral on the familiar outcomes. A generalization of the usual Choquet integral is formalized when the decision-maker holds both capacities and probabilities. A characterization of the decision-maker's behaviour is provided for a specific subset of capacities, in which it is shown that the decision-maker underestimates the unfamiliar outcomes while is linear in probabilities on customary ones
Aggregation of Coherent Experts' Opinions: A Tractable Extreme-Outcomes Consistent Rule
No full textThe paper defines a consensus distribution with respect to experts' opinions using a multiple quantile utility model. We show that the Steiner Point (R. Schneider, Isr J Math 2: 241-249, 1971) is the representative consensus probability. The new rule for aggregation of experts' opinions, which can be simply evaluated by the Shapley value, is prudential and coherent
Going Beyond Counting First Authors in Author Co-citation Analysis
No full textThe present study examines one of the fundamental aspects of author co-citation analysis (ACA) - the way co-citation
counts are defined. Co-citation counting provides the data on which all subsequent statistical analyses and mappings
are based, and we compare ACA results based on two different types of co-citation counting - the traditional type that
only counts the first one among a cited work's authors on the one hand and a non-traditional type that takes into
account the first 5 authors of a cited work on the other hand. Results indicate that the picture produced through this non-traditional author co-citation counting contains more coherent author groups and is therefore considerably clearer. However, this picture represents fewer specialties in the research field being studied than that produced through the traditional first-author co-citation counting when the same number of top-ranked authors is selected and analyzed. Reasons for these effects are discussed
Put–Call Parities, absence of arbitrage opportunities, and nonlinear pricing rules
No full textWhen prices of assets traded in a financial market are determined by nonlinear pricing rules, different parities between call and put options have been considered. We show that, under monotonicity, parities between call and put options and discount certificates characterize ambiguity-sensitive (Choquet and/or Sipos) pricing rules, that is, pricing rules that can be represented via discounted expectations with respect to non-additive probability measures. We analyze how nonadditivity relates to arbitrage opportunities and we give necessary and sufficient conditions for Choquet and Sipos pricing rules to be arbitrage free. Finally, we identify violations of the Call-Put Parity with the presence of bid-ask spreads
Gain–loss hedging and cumulative prospect theory
No full textTwo acts are comonotonic if they co-vary in the same direction. The main purpose of this paper is to derive a new characterization of Cumulative Prospect Theory (CPT) through simple properties involving comonotonicity. The main novelty is a concept dubbed gain-loss hedging: mixing positive and negative acts creates hedging possibilities even when acts are comonotonic. This allows us to clarify in which sense CPT differs from Choquet expected utility. Our analysis is performed under the assumption that acts are real-valued functions. This entails a simple (piece-wise) constant marginal utility representation of CPT, which allows us to clearly separate the perception of uncertainty from the evaluation of outcomes
From sure to strong diversification
No full textThis paper presents a characterization of weak risk aversion in terms of preference for sure diversification. Similarly, we show that strong risk aversion can be characterized by weakening preference for diversification, as introduced by Dekel [11], in what we name preference for strong diversification.Weak risk aversion, strong risk aversion, diversification.
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