Calibrating the Subjective
Theoretical Economics
2025-06-05 v2
Abstract
I conduct Rabin's (2000) calibration exercise in the subjective expected utility realm. I show that the rejection of some risky bet by a risk-averse agent only implies the rejection of more extreme and less desirable bets and nothing more.
Cite
@article{arxiv.2412.18486,
title = {Calibrating the Subjective},
author = {Mark Whitmeyer},
journal= {arXiv preprint arXiv:2412.18486},
year = {2025}
}