Theory of Decision under Uncertainty

Author: Itzhak Gilboa

Publisher: Cambridge University Press

ISBN: 9780521741231

Category: Business & Economics

Page: 230

View: 6946


This book describes the classical axiomatic theories of decision under uncertainty, as well as critiques thereof and alternative theories. It focuses on the meaning of probability, discussing some definitions and surveying their scope of applicability. The behavioral definition of subjective probability serves as a way to present the classical theories, culminating in Savage's theorem. The limitations of this result as a definition of probability lead to two directions - first, similar behavioral definitions of more general theories, such as non-additive probabilities and multiple priors, and second, cognitive derivations based on case-based techniques.

Duality and Modern Economics

Author: Richard Cornes

Publisher: CUP Archive

ISBN: 9780521336017

Category: Business & Economics

Page: 290

View: 6736


Dual arguments have become a standard tool for analysis of problems involving optimization by consumers and producers. The principal aim of this book is to provide a fairly systematic yet simple exposition of the basic structure of such arguments. The emphasis is not on providing mathematically general proofs; instead, a geometric approach is used to provide, in an informal way, an intuitive understanding of duality theory. This book introduces the most common alternative ways of representing preferences and technologies, such as indirect utility and distance functions, expenditure and cost functions, and profit and revenue functions. and it discusses the assumptions under which alternative formulations contain precisely the same information. Results such as Roy's identity. the Hotelling-Wold identity, and Shephard's lemma are fully explained. as are their roles in facilitating analysis of behaviour.

Analogies and Theories

Formal Models of Reasoning

Author: Itzhak Gilboa,Larry Samuelson,David Schmeidler

Publisher: OUP Oxford

ISBN: 0191057894

Category: Business & Economics

Page: 160

View: 7982


The book describes formal models of reasoning that are aimed at capturing the way that economic agents, and decision makers in general think about their environment and make predictions based on their past experience. The focus is on analogies (case-based reasoning) and general theories (rule-based reasoning), and on the interaction between them, as well as between them and Bayesian reasoning. A unified approach allows one to study the dynamics of inductive reasoning in terms of the mode of reasoning that is used to generate predictions.

Notes On The Theory Of Choice

Author: David Kreps

Publisher: Routledge

ISBN: 0429978243

Category: Social Science

Page: 228

View: 9249


In this book, Professor Kreps presents a first course on the basic models of choice theory that underlie much of economic theory. This course, taught for several years at the Graduate School of Business, Stanford University, gives the student an introduction to the axiomatic method of economic analysis, without placing too heavy a demand on mathematical sophistication.The course begins with the basics of choice and revealed preference theory and then discusses numerical representations of ordinal preference. Models with uncertainty come next: First is von Neumann?Morgenstern utility, and then choice under uncertainty with subjective uncertainty, using the formulation of Anscombe and Aumann, and then sketching the development of Savage's classic theory. Finally, the course delves into a number of special topics, including de Finetti's theorem, modeling choice on a part of a larger problem, dynamic choice, and the empirical evidence against the classic models.

Random Sets in Econometrics

Author: Ilya Molchanov,Francesca Molinari

Publisher: Cambridge University Press

ISBN: 1107121205

Category: Business & Economics

Page: 224

View: 3852


This is the first full-length study of how the theory of random sets can be applied in econometrics.

Democracy, Education, and Equality

Graz-Schumpeter Lectures

Author: John E. Roemer

Publisher: Cambridge University Press

ISBN: 9780521846653

Category: Business & Economics

Page: 177

View: 4204


Many believe that equality of opportunity will be achieved when the prospects of children no longer depend upon the wealth and education of their parents. The institution through which the link between child and parental prospects may be weakened is public education. Many also believe that democracy is the political institution that will bring about justice. This study, first published in 2006, asks whether democracy, modeled as competition between political parties that represent different interests in the polity, will result in educational funding policies that will, at least eventually, produce citizens who have equal capacities (human capital), thus breaking the link between family background and child prospects. In other words, will democracy engender, through the educational finance policies it produces, a state of equal opportunity in the long run?

General Equilibrium Foundation of Partial Equilibrium Analysis

Author: Takashi Hayashi

Publisher: Springer

ISBN: 3319566962

Category: Business & Economics

Page: 185

View: 7513


This book addresses the gaps in undergraduate teaching of partial equilibrium analysis, providing a general equilibrium viewpoint to illustrate the assumptions underlying partial equilibrium welfare analysis. It remains unexplained, at least at the level of general economics teaching, in what sense partial equilibrium analysis is indeed a part of general equilibrium analysis. Partial equilibrium welfare analysis isolates a market for a single commodity from the rest of the economy, presuming that other things remain equal, and measures gains and losses by means of consumer surplus. This is a money metric that is supposed to be summable across individuals, recommending policy that maximizes the social surplus. But what justifies such apparently uni-dimensional practise? Within a general equilibrium framework, the assumption of no income effect is presented as the key condition, and substantive general equilibrium situations in which the condition emerges are presented. The analysis is extended to the case of uncertainty, in which the practice adopts aggregate expected consumer surplus, and scrutinizes when such practice is justified. Finally, the book illustrates partial equilibrium as an institutional artifact, meaning that institutional constraint induces individuals to behave as if they are in partial equilibrium. This volume forms an important contribution to the literature by researching why this disparity persists and the implications for economics education.

A Primer on Nonmarket Valuation

Author: Patricia A. Champ,Kevin Boyle,Thomas C. Brown

Publisher: Springer

ISBN: 9400771045

Category: Business & Economics

Page: 504

View: 4167


This is a practical book with clear descriptions of the most commonly used nonmarket methods. The first chapters of the book provide the context and theoretical foundation of nonmarket valuation along with a discussion of data collection procedures. The middle chapters describe the major stated- and revealed-preference valuation methods. For each method, the steps involved in implementation are laid out and carefully explained with supporting references from the published literature. The final chapters of the book examine the relevance of experimentation to economic valuation, the transfer of existing nonmarket values to new settings, and assessments of the reliability and validity of nonmarket values. The book is relevant to individuals in many professions at all career levels. Professionals in government agencies, attorneys involved with natural resource damage assessments, graduate students, and others will appreciate the thorough descriptions of how to design, implement, and analyze a nonmarket valuation study.

The Foundations of Positive and Normative Economics

A Handbook

Author: Andrew Caplin,Andrew Schotter

Publisher: Oxford University Press

ISBN: 9780198043966

Category: Social Science

Page: 416

View: 8023


The Foundations of Positive and Normative Economics: A Handbook is the first book in a new series by Andrew Caplin and Andrew Schotter. There is currently no guide available on the rapidly changing methodological frontiers of the field of economics. Economists have been introducing new theories and new sources of data at a remarkable rate in recent years, and there are widely divergent views both on how productive these expansions have been in the past, and how best to make progress in the future. The speed of these changes has left economists ill at ease, and has created a backlash against new methods. The series will debate these critical issues, allowing proponents of a particular research method to present proposals in a safe yet critical context, with alternatives being clarified. This first volume, written by some of the most prominent researchers in the discipline, reflects the challenges that are opened by new research opportunities. The goal of the current volume and the series it presages, is to formally open a dialog on methodology. The editors' conviction is that such a debate will rebound to the benefit of social science in general, and economics in particular. The issues under discussion strike to the very heart of the social scientific enterprise. This work is of tremendous importance to all who are interested in the contributions that academic research can make not only to our scientific understanding, but also to matters of policy.

Essential Microeconomics

Author: John G. Riley

Publisher: Cambridge University Press

ISBN: 0521827477

Category: Business & Economics

Page: 694

View: 4145


"PRICES AND OPTIMIZATION 1.1 SUPPORTING PRICES 1.2 SHADOW PRICES 1.3 THE ENVELOPE THEOREM 1.4 FOUNDATIONS OF CONSTRAINED OPTMIZATION 1.5 APPLICATION: MONOPOLY PRICING WITH JOINT COSTS 1.1 SUPPORTING PRICES Key ideas: convex and non-convex production sets, price based incentives, Supporting Hyperplane Theorem Pursuit of self-interest is central to economics. Thus a deep understanding of the theory of maximization is essential to effective theorizing. In particular, the theory of constrained maximization is so crucial that we explore it in this first chapter. In contrast to a purely mathematical exposition, the emphasis here is on prices"--

Samuelsonian Economics and the Twenty-First Century

Author: Michael Szenberg,Aron A. Gottesman

Publisher: Oxford University Press

ISBN: 0199298823

Category: Business & Economics

Page: 350

View: 1755


"The underlying notion in this volume is to spotlight, critically assess, and illuminate Paul A. Samuelson's extraordinarily voluminous, diverse, and groundbreaking contributions that encompass the entire field of economics through the lens of most eminent scholars. All this in honor of his ninetieth birthday celebrated on May 15, 2005 in Fairmont Hotel in Boston in the company of hundreds of scholars and their spouses."--Pref.

Valuing Environmental Preferences

Theory and Practice of the Contingent Valuation Method in the US, EU, and Developing Countries

Author: Ian J. Bateman,Kenneth George Willis

Publisher: Oxford University Press on Demand

ISBN: 0199248915

Category: Business & Economics

Page: 645

View: 5368


'The case studies are particularly informative and well balanced. This book is extremely attractively priced and should find a place on the shelves of many libraries and individuals who have an interest/concern in their attempts to evaluate the many and growing environmental problems facing our planet in the 21st century.' -International Journal of Environmental Studies'Very interesting multi-author truly international book... very well referenced... good index.' -International Journal of Environmental StudiesThis is a comprehensive and up-to-date treatment of the Contingent Valuation Method (CVM), which asks what people would be willing to pay for an environmental good or attribute, or willing to accept for its loss. CVM is currently central to the assessment of environmental damage and has been the subject of considerable debate. Aimed at specialists, the book contains specially commissioned papers from both sides of that debate, as well as from commentators who see it as an interesting experimental tool regardless of the question of absolute validity of estimates. The book embraces the theoretical, methodological, empirical, and institutional aspects of the current debate, and looks at the method in US, European, and developing country contexts.

Algorithms and Computation

19th International Symposium, ISAAC 2008, Gold Coast, Australia, December 15-17, 2008. Proceedings

Author: Seok-Hee Hong,Hiroshi Nagamochi,Takuro Fukunaga

Publisher: Springer

ISBN: 3540921826

Category: Computers

Page: 948

View: 5735


This volume contains the proceedings of the 19th International Symposium on Algorithmsand Computation (ISAAC 2008),held on the Gold Coast, Australia, December 15–17, 2008. In the past, it was held in Tokyo (1990), Taipei (1991), Nagoya (1992), Hong Kong (1993), Beijing (1994), Cairns (1995), Osaka (1996), Singapore (1997), Daejeon (1998), Chennai (1999), Taipei (2000), Christchurch (2001), Vancouver (2002), Kyoto (2003), Hong Kong (2004), Hainan (2005), Kolkata (2006), and Sendai (2007). ISAACis anannualinternationalsymposiumthatcoversthe verywide range of topics in the ?eld of algorithms and computation. The main purpose of the symposium is to provide a forum for researchers working in algorithms and theoryofcomputationfrom allovertheworld.In responseto ourcallfor papers, we received 229 submissions from 40 countries. The task of selecting the papers in this volume was done by our Program Committee and many other external reviewers. After an extremely rigorous review process and extensive discussion, the Committee selected 78 papers. We hope all accepted papers will eventually appear in scienti?c journals in a more polished form. Two special issues, one of Algorithmica and one of the International Journal on Computational Geometry and Applications, with selected papers from ISAAC 2008 are in preparation.

Advances in Economics and Econometrics

Tenth World Congress

Author: Econometric Society. World Congress,Daron Acemoglu,Manuel Arellano,Eddie Dekel

Publisher: Cambridge University Press

ISBN: 1107016061

Category: Business & Economics

Page: 634

View: 702


The third volume of edited papers from the Tenth World Congress of the Econometric Society 2010.

Ignorance and Uncertainty

Author: Olivier Compte,Andrew Postlewaite

Publisher: Cambridge University Press

ISBN: 9781108422024

Category: Business & Economics

Page: 320

View: 7372


Born of a belief that economic insights should not require much mathematical sophistication, this book proposes novel and parsimonious methods to incorporate ignorance and uncertainty into economic modeling, without complex mathematics. Economics has made great strides over the past several decades in modeling agents' decisions when they are incompletely informed, but many economists believe that there are aspects of these models that are less than satisfactory. Among the concerns are that ignorance is not captured well in most models, that agents' presumed cognitive ability is implausible, and that derived optimal behavior is sometimes driven by the fine details of the model rather than the underlying economics. Compte and Postlewaite lay out a tractable way to address these concerns, and to incorporate plausible limitations on agents' sophistication. A central aspect of the proposed methodology is to restrict the strategies assumed available to agents.

Foundations of the Theory of General Equilibrium

Author: Yves Balasko

Publisher: World Scientific

ISBN: 9814651729

Category: Business & Economics

Page: 280

View: 1271


The economic theory of general equilibrium underpins the most important models used in economic theory in general and in its more specialized areas such as macroeconomics, international trade, environmental economics, growth theory, and developmental economics. In Foundations of the Theory of General Equilibrium, leading academic scholar, Yves Balasko offers a good introduction to the economic theory of general equilibrium and makes use of various mathematical tools as intuitive and easy as possible. The second half of the book addresses properties of the general equilibrium model that are still at the frontier of current research. These properties deal with the characterization of economies with a unique equilibrium and, more generally, with the relationships between the number of equilibria and the fundamentals of an economy. Contents:The Exchange ModelA Simple Linear Version of the Exchange ModelThe Exchange Model with Two Goods and Two ConsumersConsumer TheoryThe Equilibrium ManifoldThe Natural ProjectionEquilibrium Analysis for Fixed Total ResourcesThe Natural Projection and Envelope TheoryA Duality TheorySeveral Extensions of the General Equilibrium Model Readership: Graduate students in mathematics who want to specialize in economics and mathematical economics; researchers and professionals who will find in this book a detailed account of some of the most current developments of a difficult but essential theory.


a modern treatment

Author: Sir Robert Minshull Shone

Publisher: N.A


Category: Business & Economics

Page: 330

View: 7412


Horizontal Inequalities and Conflict

Understanding Group Violence in Multiethnic Societies

Author: F. Stewart

Publisher: Springer

ISBN: 0230582729

Category: Social Science

Page: 364

View: 6600


Drawing on econometric evidence and in-depth studies of West Africa, Latin America and Southeast Asia, this book explores how horizontal inequalities - ethnic, religious or racial - are a source of violent conflict and how political, economic and cultural status inequalities have contributed. Policies to reverse inequality would reduce these risks.