|
EconStor >
University of California (UC) >
UC Davis, Department of Economics >
Working Papers, Department of Economics, UC Davis >
Please use this identifier to cite or link to this item:
http://hdl.handle.net/10419/58398
|
| | |
| Title: | | Awareness-dependent subjective expected utility  |
| Authors: | | Schipper, Burkhard |
| Issue Date: | | 2011 |
| Series/Report no.: | | Working Papers, University of California, Department of Economics 10,22 |
| Abstract: | | We develop awareness-dependent subjective expected utility by taking unawareness structures introduced in Heifetz, Meier, and Schipper (2006, 2008, 2011a) as primitives in the Anscombe-Aumann approach to subjective expected utility. We observe that a decision maker is unaware of an event if and only if her choices reveal that the event is null and the negation of the event is null. Moreover, we characterize impersonal expected utility that is behaviorally indistinguishable from awareness-dependent subject expected utility and assigns probability zero to some subsets of states that are not necessarily events. We discuss in what sense probability zero can model unawareness. |
| Subjects: | | unawareness awareness unforeseen contingencies null probability zero subjective expected utility Anscombe-Aumann small worlds |
| JEL: | | C70 C72 D03 D80 D81 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Working Papers, Department of Economics, UC Davis
|
| Files in This Item:
| |
|
| No. of Downloads:
| |
| last Month |
last 3 Month |
total |
|
|
|
|
|
| |
| | |
Download bibliographical data as:
BibTeX
|
| |
Share on:http://hdl.handle.net/10419/58398
|
Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.
|