Comparing multistate expected damages, option price and cumulative prospect measures for valuing flood protection

Option price without expected utility

Article history: Received 26 April 2007 Received in revised form 8 February 2008 Accepted 6 March 2008 Available online xxxx OO We consider the meaning of the option price, commonly acknowledged as the preferred ex ante welfare measure, in the rank-dependent expected utility (RDEU) framework. The importance of this pertains to performing benefit-cost analysis when RDEU maximizers are prevalent ...

Non-expected Utility Theories: Weighted Expected, Rank Dependent, and, Cumulative Prospect Theory Utility

Non-Expected Utility Theories: Weighted Expected, Rank Dependent, and, Cumulative Prospect Theory Utility by

Punitive Damages and Valuing Harm

Is Cumulative Prospect Theory a Serious Alternative for the Expected Utility Paradigm?