Options traders exhibit subadditive decision weights

DOI10.1007/BF00055335zbMath0861.90037MaRDI QIDQ1817324

Amos Tversky, Brett A. Rogers, Craig R. Fox

Publication date: 14 January 1997

Published in: Journal of Risk and Uncertainty (Search for Journal in Brave)

zbMATH Keywords

uncertaintyrisksubadditivitydecision weights

Mathematics Subject Classification ID

Related Items (19)

Processing information in quantum decision theory ⋮ A simple model of cumulative prospect theory ⋮ A theory of belief. ⋮ Decision theory with prospect interference and entanglement ⋮ Quantum-like generalization of the Bayesian updating scheme for objective and subjective mental uncertainties ⋮ Uncertainty aversion vs. competence: An experimental market study ⋮ DISPLAYING UNCERTAIN INFORMATION ABOUT PROBABILITY: EXPERIMENTAL EVIDENCE ⋮ Contrasting stochastic and support theory accounts of subadditivity ⋮ Survival risks, intertemporal consumption, and insurance: the case of distorted probabilities ⋮ Market failure in light of non-expected utility ⋮ The influence of probabilities on the response mode bias in utility elicitation ⋮ Reconciling support theory and the book-making principle ⋮ Do trade union leaders violate subjective expected utility? some insights from experimental data ⋮ Eliciting decision weights by adapting de Finetti's betting-odds method to prospect theory ⋮ A life-cycle model with ambiguous survival beliefs ⋮ Propensity for hedging and ambiguity aversion ⋮ Emotion and knowledge in decision making under uncertainty ⋮ A foundation for support theory based on a non-Boolean event space ⋮ Dutch books: Avoiding strategic and dynamic complications, and a comonotonic extension

Cites Work

• Expected utility with purely subjective non-additive probabilities
• Continuous subjective expected utility with non-additive probabilities
• Rank- and sign-dependent linear utility models for finite first-order gambles
• Advances in prospect theory: cumulative representation of uncertainty
• An axiomatization of cumulative prospect theory
• Subjective Probability and Expected Utility without Additivity
• Prospect Theory: An Analysis of Decision under Risk
• Curvature of the Probability Weighting Function
• The Dual Theory of Choice under Risk
• Risk Attitudes and Decision Weights
• Ambiguity Aversion and Comparative Ignorance

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