Mars Blue Clearing and Allais Effect

Ten Blue Links on Mars

This paper explores a simple question: How would we provide a high-quality search experience on Mars, where the fundamental physical limit is speed-of-light propagation delays on the order of tens of minutes? On Earth, users are accustomed to nearly instantaneous responses from web services. Is it possible to overcome orders-of-magnitude longer latency to provide a tolerable user experience on ...

Allais , Stability , and Liapunov Theory

To make a discovery is to achieve one of the closest approximations to a property right that the scientific career affords. Professional prestige is often closely associated with these acquisitions. Small wonder, then, that acrimonious disputes about priority and independence in discovery have often marred the normally placid tenor of scientific communication. Even less wonder that many histori...

Allais paradox pdf

Learning in the Allais paradox

Whereas both the Allais paradox, the first empirical challenge of the classical rationality assumptions, and learning have been the focus of many experimental investigations, no experimental study exists today into learning in the pure context of the Allais paradox. This paper presents such a study. We find that choices converge to expected utility maximization if subjects are given the opportu...

Allais, Ellsberg, and preferences for hedging

Two of the most well known regularities observed in preferences under risk and uncertainty are ambiguity aversion and the Allais paradox. We study the behavior of an agent who can display both tendencies simultaneously. We introduce a novel notion of preference for hedging that applies to both objective lotteries and uncertain acts. We show that this axiom, together with other standard ones, is...