Agreeable trade with optimism and pessimism

• Verfasst von: Dominiak, Adam [VerfasserIn]
• Verfasst von: Eichberger, Jürgen [VerfasserIn]
• Verfasst von: Lefort, Jean-Philippe [VerfasserIn]
• Titel: Agreeable trade with optimism and pessimism
• Verf.angabe: Adam Dominiak, Jürgen Eichberger, Jean-Philippe Lefort
• E-Jahr: 2012
• Jahr: 2 June 2012
• Umfang: 8 S.
• Fussnoten: Gesehen am 25.07.2018
• Titel Quelle: Enthalten in: Mathematical social sciences
• Ort Quelle: Amsterdam : Elsevier Science, 1980
• Jahr Quelle: 2012
• Band/Heft Quelle: 64(2012), 2, Seite 119-126
• DOI: doi:10.1016/j.mathsocsci.2012.03.006
• Datenträger: Online-Ressource
• Sprache: eng
• K10plus-PPN: 1577926323

Abstract

In this paper we extend the results on ex-ante agreeable trade of Kajii and Ui [Kajii, A., Ui, T., 2006. Agreeable bets with multiple priors. Journal of Economic Theory 128, 299-305] to the case of nonconvex Choquet preferences. We discuss the economic relevance of the main result for the existence of speculative trade under ambiguity. Following Haller [Haller, H., 1990. Non-market reopening, timeconsistent plans and the structure of intertemporal preferences. Economics Letters 32, 1-5] we also elaborate the relevance of updating preferences upon arrival of public information for the potential of re-contracting initial contingent claims.