eprintid: 28152
rev_number: 18
eprint_status: archive
userid: 3114
dir: disk0/00/02/81/52
datestamp: 2020-03-30 11:06:39
lastmod: 2020-04-27 11:58:02
status_changed: 2020-03-30 11:06:39
type: workingPaper
metadata_visibility: show
creators_name: Eichberger, Jürgen
creators_name: Pasichnichenko, Illia
title: Decision-making with partial information
subjects: 330
divisions: 181000
abstract: In this paper, we study choice under uncertainty with belief functions on a set of outcomes as objects of choice. Belief functions describe what is objectively known about the probabilities of outcomes. We assume that decision makers have preferences over belief functions that reflect both their valuation of outcomes and the
information available about the likelihood of outcomes. We provide axioms which characterize a preference representation for belief functions that captures what is
(objectively) known about the likelihood of outcomes and combines it with subjective beliefs about unknown probabilities according to the “principle of insufficient
reason”. The approach is novel in its treatment of partial information and in its axiomatization of the uniform distribution in the case of ignorance. Moreover, our treatment of partial information yields a natural distinction between ambiguity and ambiguity attitude.
date: 2020-03
id_scheme: DOI
id_number: 10.11588/heidok.00028152
schriftenreihe_cluster_id: sr-3
schriftenreihe_order: 0680
ppn_swb: 1696247187
own_urn: urn:nbn:de:bsz:16-heidok-281529
language: eng
bibsort: EICHBERGERDECISIONMA202003
full_text_status: public
series: Discussion Paper Series / University of Heidelberg, Department of Economics
volume: 0680
place_of_pub: Heidelberg
pages: 36
citation:   Eichberger, Jürgen ; Pasichnichenko, Illia  (2020) Decision-making with partial information.  [Working paper]     
document_url: https://archiv.ub.uni-heidelberg.de/volltextserver/28152/3/Eichberger_2020_dp680.pdf