Comment on “Ellsberg's two‐color experiment, portfolio inertia and ambiguity”
Youichiro Higashi,
Sujoy Mukerji,
Norio Takeoka and
Jean-Marc Tallon
International Journal of Economic Theory, 2008, vol. 4, issue 3, 433-444
Abstract:
In the setting of Ellsberg's two‐color experiment, Mukerji and Tallon (2003) claim, without relying on particular representations, that ambiguity‐averse behavior implies subjective portfolio inertia. In this note, we point out using a counterexample that their axioms are not enough to establish the result. We fill in the gap in their argument using additional axioms and argue that these axioms are of their own interest in that they behaviorally separate two prominent models of ambiguity: the maximin expected utility and smooth ambiguity models.
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)
Downloads: (external link)
https://doi.org/10.1111/j.1742-7363.2008.00087.x
Related works:
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) 
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:bla:ijethy:v:4:y:2008:i:3:p:433-444
Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1742-7355
Access Statistics for this article
International Journal of Economic Theory is currently edited by Kazuo Nishimura and Makoto Yano
More articles in International Journal of Economic Theory from The International Society for Economic Theory
Bibliographic data for series maintained by Wiley Content Delivery ().