Prospect dynamics and loss dominance

نویسندگان
چکیده

برای دانلود رایگان متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید

اگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید

منابع مشابه

Prospect and Markowitz Stochastic Dominance

Levy and Levy (2002, 2004) develop the Prospect and Markowitz stochastic dominance theory with S-shaped and reverse S-shaped utility functions for investors. In this paper, we extend Levy and Levy’s Prospect Stochastic Dominance theory (PSD) and Markowitz Stochastic Dominance theory (MSD) to the first three orders and link the corresponding S-shaped and reverse S-shaped utility functions to the...

متن کامل

Stochastic Dominance and Prospect Dominance with Subjective Weighting Functions

Stochastic Dominance (SD) rules are used to divide the sets of all feasible uncertain prospects into efficient and inefficient sets (partial ordering). The SD rules (as well as the mean-variance rule) assume that investors agree on the available distributions of returns. Laboratory experiments with and without real money repeatedly reveal that even if all subjects observe the same pair of cumul...

متن کامل

Generalized risk-dominance and asymmetric dynamics

This paper proposes two (ordinal and cardinal) generalizations of Harsanyi and Selten (1988) risk-dominance to multi-player, multi-action games. There are three reasons why generalized risk-dominance (GR-dominance) is interesting. Extending the logic of riskdominance, GR-dominant actions can be interpreted as best responses to conjectures that satisfy a certain type of symmetry. Second, in a lo...

متن کامل

Loss Aversion Under Prospect Theory: A Parameter-Free Measurement

A body of qualitative evidence shows that loss aversion, a phenomenon formalized in prospect theory, can explain a variety of field and experimental data. Quantifications of loss aversion are, however, hindered by the absence of a general preference-based method to elicit the utility for gains and losses simultaneously. This paper proposes such a method and uses it to measure loss aversion in a...

متن کامل

An Empirical Test of Gain-Loss Separability in Prospect Theory

We investigate a basic premise of prospect theory, that the valuation of gains and losses is separable. In prospect theory, gain-loss separability implies that a mixed gamble is valued by summing the valuations of the gain and loss portions of that gamble. Two experimental studies demonstrate a systematic violation of the double matching axiom, an axiom that is necessary for gain-loss separabil...

متن کامل

ذخیره در منابع من


  با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید

ژورنال

عنوان ژورنال: Games and Economic Behavior

سال: 2018

ISSN: 0899-8256

DOI: 10.1016/j.geb.2018.07.006