Payoff kinks in preferences over lotteries
type: Item
instance of: scholarly article
title: Payoff kinks in preferences over lotteries
zbMATH Open document ID: 1076.91012
DOI: 10.1023/A:1011833407458
published in: Journal of Risk and Uncertainty
publication date: 2004-02-03T00:00:00Z
review text: A family of all finite-outcome lotteries over some real interval is considered. Two distinct types of payoff kinks of preference functions are identified. It is proven that expected utility and Fréchet differentiable preference functions do not exhibit the locally nonseparable payoff kinks. On the other hand, rank-dependent preference functions exhibit such kinks.
Mathematics Subject Classification ID: 91B08
Mathematics Subject Classification ID: 91B16
Mathematics Subject Classification ID: 91B30
zbMATH DE Number: 2037027
zbMATH Keywords: risk
zbMATH Keywords: uncertainty
zbMATH Keywords: payoff kinks
author: Mark J. Machina
reviewed by: Antanas Žilinskas
MaRDI profile type: Publication
full work available at URL: a:1011833407458
OpenAlex ID: W3121650566
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description: scientific article; zbMATH DE number 2037027