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Related papers: Recursive Preferences and Ambiguity Attitudes

200 papers

We study consumption dependence in the context of random utility and repeated choice. We show that, in the presence of consumption dependence, the random utility model is a misspecified model of repeated rational choice. This…

Theoretical Economics · Economics 2025-10-01 Christopher Turansick

Diversification represents the idea of choosing variety over uniformity. Within the theory of choice, desirability of diversification is axiomatized as preference for a convex combination of choices that are equivalently ranked. This…

Economics · Quantitative Finance 2016-10-07 Enrico G. De Giorgi , Ola Mahmoud

The quality of rationales is essential in the reasoning capabilities of language models. Rationales not only enhance reasoning performance in complex natural language tasks but also justify model decisions. However, obtaining impeccable…

Computation and Language · Computer Science 2025-03-05 Hazel H. Kim

Consensus control of multiagent systems arises in various robotic applications such as rendezvous and formation control. For example, to compute the control inputs of individual agents, the difference in the positions in aligned coordinate…

Systems and Control · Electrical Eng. & Systems 2024-10-22 Zhonggang Li , Changheng Li , Raj Thilak Rajan

Choice functions constitute a simple, direct and very general mathematical framework for modelling choice under uncertainty. In particular, they are able to represent the set-valued choices that appear in imprecise-probabilistic decision…

Artificial Intelligence · Computer Science 2019-05-22 Jasper De Bock , Gert de Cooman

Preferences for mixing can reveal ambiguity perception and attitude on a single event. The validity of the approach is discussed for multiple preference classes including maxmin, maxmax, variational, and smooth second-order preferences. An…

Econometrics · Economics 2024-08-16 Patrick Schmidt

Ambiguity-averse decision makers typically dislike not only the presence of ambiguous events but also their increase, contrary to what standard ambiguity models predict. We axiomatically study such a decision maker. She avoids ex ante…

Theoretical Economics · Economics 2026-05-25 Yutaro Akita , Kensei Nakamura

The expectation is an example of a descriptive statistic that is monotone with respect to stochastic dominance, and additive for sums of independent random variables. We provide a complete characterization of such statistics, and explore a…

Theoretical Economics · Economics 2024-08-06 Xiaosheng Mu , Luciano Pomatto , Philipp Strack , Omer Tamuz

The ideas about decision making under ignorance in economics are combined with the ideas about uncertainty representation in computer science. The combination sheds new light on the question of how artificial agents can act in a dynamically…

Artificial Intelligence · Computer Science 2012-02-20 Phan H. Giang

We study non-rectangular robust Markov decision processes under the average-reward criterion, where the ambiguity set couples transition probabilities across states and the adversary commits to a stationary kernel for the entire horizon. We…

Optimization and Control · Mathematics 2026-03-11 Shengbo Wang , Nian Si

Multimodal large language models (MLLMs) must resolve conflicts when different modalities provide contradictory information, a process we term modality following. Prior work measured this behavior only with coarse dataset-level statistics,…

Artificial Intelligence · Computer Science 2025-11-05 Zhuoran Zhang , Tengyue Wang , Xilin Gong , Yang Shi , Haotian Wang , Di Wang , Lijie Hu

Actual individual preferences are neither complete (=total) nor antisymmetric in general, so that at least every quasi-order must be an admissible input to a satisfactory choice rule. It is argued that the traditional notion of…

Combinatorics · Mathematics 2007-05-23 Jobst Heitzig

A fundamental question asked in modal logic is whether a given theory is consistent. But consistent with what? A typical way to address this question identifies a choice of background knowledge axioms (say, S4, D, etc.) and then shows the…

Logic · Mathematics 2023-07-12 Samuel Allen Alexander , Arthur Paul Pedersen

This paper proposes a model of choice via agentic artificial intelligence (AI). A key feature is that the AI may misinterpret a menu before recommending what to choose. A single acyclicity condition guarantees that there is a monotonic…

Theoretical Economics · Economics 2026-02-05 Christopher Kops , Elias Tsakas

The paper adresses the problem of reasoning with ambiguities. Semantic representations are presented that leave scope relations between quantifiers and/or other operators unspecified. Truth conditions are provided for these representations…

cmp-lg · Computer Science 2008-02-03 Uwe Reyle

This paper studies preference aggregation under ambiguity when agents have incomplete preference relations due to imprecise beliefs. We introduce the "dual" of the Pareto principle, which respects unanimity among individuals, including…

Theoretical Economics · Economics 2025-12-19 Leo Kurata , Kensei Nakamura

Several different fairness notions have been introduced in the context of fair allocation of goods. In this manuscript, we compare between some fairness notions that are used in settings in which agents have arbitrary (perhaps unequal)…

Computer Science and Game Theory · Computer Science 2023-12-01 Uriel Feige

We combine forward investment performance processes and ambiguity averse portfolio selection. We introduce the notion of robust forward criteria which addresses the issues of ambiguity in model specification and in preferences and…

Portfolio Management · Quantitative Finance 2014-11-17 Sigrid Kallblad , Jan Obloj , Thaleia Zariphopoulou

This paper presents four theorems that connect continuity postulates in mathematical economics to solvability axioms in mathematical psychology, and ranks them under alternative supplementary assumptions. Theorem 1 connects notions of…

Theoretical Economics · Economics 2022-04-12 Aniruddha Ghosh , M. Ali Khan , Metin Uyanik

I introduce novel preference formulations which capture aversion to ambiguity about unknown and potentially time-varying volatility. I compare these preferences with Gilboa and Schmeidler's maxmin expected utility as well as variational…

Theoretical Economics · Economics 2021-09-21 Peter G. Hansen