Jump to ContentJump to Main Navigation
Show Summary Details
More options …

The B.E. Journal of Theoretical Economics

Editor-in-Chief: Schipper, Burkhard

Ed. by Fong, Yuk-fai / Peeters, Ronald / Puzzello , Daniela / Rivas, Javier / Wenzelburger, Jan

2 Issues per year


IMPACT FACTOR 2017: 0.220
5-year IMPACT FACTOR: 0.328

CiteScore 2017: 0.28

SCImago Journal Rank (SJR) 2017: 0.181
Source Normalized Impact per Paper (SNIP) 2017: 0.459

Mathematical Citation Quotient (MCQ) 2017: 0.09

Online
ISSN
1935-1704
See all formats and pricing
More options …

Uniquely Representing "A Preference for Uniformity"

Kalyan Chatterjee / R. Vijay Krishna
Published Online: 2012-01-03 | DOI: https://doi.org/10.2202/1935-1704.1807

In a model of decision making over sets of alternatives, we consider an agent who conceives of the different utilities she will receive (depending on the state of mind she is in, her subjective state) when she finally makes a choice from the set. Her uncertainty is described by multiple beliefs (or measures) over the state space. She is pessimistic about the true beliefs, and would like to hedge her bets. This results in her having a preference for uniformity of payoffs across the various subjective states. We present a utility representation for such agents and show that our representation provides a natural measure of the agent's desire for uniformity of payoffs in the subjective states. We also show that concerns for uniformity are orthogonal to concerns about flexibility or commitment. We achieve this by relaxing the Independence axiom as applied to our environment. However, this weakening of Independence means that in settings with temptation, we can no longer ensure the existence of a unique normative ranking.

Keywords: preference for uniformity; hedging; subjective states

About the article

Published Online: 2012-01-03


Citation Information: The B.E. Journal of Theoretical Economics, Volume 12, Issue 1, ISSN (Online) 1935-1704, DOI: https://doi.org/10.2202/1935-1704.1807.

Export Citation

©2012 Walter de Gruyter GmbH & Co. KG, Berlin/Boston.Get Permission

Comments (0)

Please log in or register to comment.
Log in