Observability and “Second-Order Acts”∗

نویسندگان

  • Nabil I. Al-Najjar
  • Luciano De Castro
چکیده

This note questions the behavioral content of second-order acts and their use in decision theoretic models. We show that there can be no verification mechanism to determine what the decision maker receives under a second-order act. This impossibility applies even in idealized repeated experiments where infinite data can be observed. ∗We thank Paolo Ghirardato, Ben Polak, Kyoungwon Seo, and Marciano Siniscalchi for discussions and comments on an earlier version of the paper. We also thank Simone Galperti for his research assistance. † Department of Managerial Economics and Decision Sciences, Kellogg School of Management, Northwestern University, Evanston IL 60208. ‡ Department of Managerial Economics and Decision Sciences, Kellogg School of Management, Northwestern University, Evanston IL 60208.

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تاریخ انتشار 2013