Economics at your fingertips  

Ambiguity and the value of information revisited

Diego C. Nocetti ()
Additional contact information
Diego C. Nocetti: Clarkson University, David D. Reh School of Business

The Geneva Risk and Insurance Review, 2018, vol. 43, issue 1, 25-38

Abstract: Abstract We analyze the value that decision makers place on the acquisition of information that partially or completely resolves uncertainty over the correct distribution of outcomes. We distinguish two sources of ambiguity of a given message service: posterior uncertainty over the correct probability distribution and uncertainty over the message which will be received. Given this distinction, we present a model where attitudes towards the two sources of ambiguity are separated and we study how these attitudes affect the value of information. The analysis clarifies and integrates seemingly contradictory results obtained previously in the literature.

Keywords: Value of information; Ambiguity; Ambiguity aversion (search for similar items in EconPapers)
JEL-codes: D81 D83 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
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:

Ordering information: This journal article can be ordered from

Access Statistics for this article

The Geneva Risk and Insurance Review is currently edited by Michael Hoy and Nicolas Treich

More articles in The Geneva Risk and Insurance Review from Palgrave Macmillan, International Association for the Study of Insurance Economics (The Geneva Association) Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla ().

Page updated 2019-11-06
Handle: RePEc:pal:genrir:v:43:y:2018:i:1:d:10.1057_s10713-018-0025-z