When is ambiguity–attitude constant?

B-Tier
Journal: Journal of Risk and Uncertainty
Year: 2012
Volume: 45
Issue: 3
Pages: 239-263

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper studies how updating affects ambiguity attitude. In particular we focus on generalized Bayesian updating of the Jaffray–Philippe sub-class of Choquet Expected Utility preferences. We find conditions for ambiguity attitude to be the same before and after updating. A necessary and sufficient condition for ambiguity attitude to be unchanged when updated on an arbitrary event is for the capacity to be neo-additive. We find a condition for updating on a given partition to preserve ambiguity attitude. We relate this to necessary and sufficient conditions for dynamic consistency. Finally, we study whether ambiguity increases or decreases after updating. Copyright Springer Science+Business Media New York 2012

Technical Details

RePEc Handle
repec:kap:jrisku:v:45:y:2012:i:3:p:239-263
Journal Field
Theory
Author Count
3
Added to Database
2026-01-25