Comment on Ellsberg's two-color experiment, portfolio inertia and ambiguity

Youichiro Higashi, Sujoy Mukerji, Norio Takeoka and Jean-Marc Tallon
Additional contact information
Youichiro Higashi: Department of economics - University of Rochester [USA]
Norio Takeoka: Department of economics - University of Rochester [USA]

Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) from HAL

Abstract: The final step in the proof of Proposition 1 (p.311) of Mukerji and Tallon (2003) may not hold in generalbecause $\varepsilon>0$ in the proof cannot be chosen independently of $w,z$. We point out by a counterexample that the axioms they impose are too weak for Proposition 1. We introduce a modified set of axioms and re-establish the proposition

Keywords: ambiguity; bid ask spread; Ellsberg paradox (search for similar items in EconPapers)
Date: 2008-09
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00175266v1
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Published in International Journal of Economic Theory, 2008, 4 (3), pp.433-444. ⟨10.1111/j.1742-7363.2008.00087.x⟩

Downloads: (external link)
https://shs.hal.science/halshs-00175266v1/document (application/pdf)

Related works:
Journal Article: Comment on “Ellsberg's two‐color experiment, portfolio inertia and ambiguity” (2008)
Working Paper: Comment on Ellsberg's two-color experiment, portfolio inertia and ambiguity (2008)
Working Paper: Comment on Ellsberg's two-color experiment, portfolio inertia and ambiguity (2008)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:cesptp:halshs-00175266

DOI: 10.1111/j.1742-7363.2008.00087.x

Access Statistics for this paper

More papers in Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) from HAL
Bibliographic data for series maintained by CCSD ().