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Investors' inheterogeneity is one of the prevailing features on financial markets. Thus, the recent asset pricing literature has produced a number of general equilibrium models where agents have different preferences. This thesis analyzes the effect of pre ...
In contrast with expected utility theory, empirical findings indicate that decision-makers are sensitive to departures from reference points rather than states. Several tests of the reference-dependent preference framework have been carried out in experime ...
In recent years, there is an increasing need to quantify earthquake-induced losses throughout the expected life of a building in order to evaluate alternative design options such that we can minimize repairs in the aftermath of an earthquake. This paper di ...
In the standard real options approach to investment under uncertainty, agents formulate optimal policies under the assumptions of risk neutrality or complete financial markets. Although these assumptions are crucial to the implications of the approach, the ...
We derive bounds on the expected loss for authenti-cation protocols in channels which are constrained due to noisyconditions and communication costs. This is motivated by anumber of authentication protocols, where at least some partof the authentication is ...
In this work we explore possibilities for coding when information worlds have different (semantic) values. We introduce a loss function that expresses the overall performance of a coding scheme for discrete channels and exchange the usual goal of minimizin ...
The goal of this column is to help working clinicians understand the statistical calculations involved in interpreting the results of diagnostic questionnaires. Using the Patient Health Questionnaire-9 as an example, the author explains how to determine th ...
The endowment effect is among the best known findings in behavioral economics and has been used as evidence for theories of reference-dependent preferences and loss aversion. However, a recent literature has questioned the robustness of the effect in the l ...
Background Recent neuroimaging studies suggest that value-based decision-making may rely on mechanisms of evidence accumulation. However no studies have explicitly investigated the time when single decisions are taken based on such an accumulation process. ...
Financial decision making under time pressure, though ubiquitous, is poorly understood; classical and behavioral finance are silent about the time required for a decision to be made. In an experiment, calibrating allowable decision times to 1, 3, and 5 s, ...