The Journal of Economic Perspectives · 1987 · 881 citations · 29 references
BusinessEconomicsDecision TheoryMicroeconomicsUncertainty QuantificationChoice Under UncertaintyDecision Making Under RiskDecision Under UncertaintyDecision-making Under UncertaintyRisk AversionRisk PreferencesChoice Over Time Under UncertaintyDecision Analysis Under UncertaintyDecision Theory Under UncertaintyPreference Under UncertaintyRisk Aversion EstimationRisk-based ChoiceUncertainty In Decision MakingUtility Maximization Under Uncertainty
Fifteen years ago, the theory of choice under uncertainty could be considered one of the “success stories” of economic analysis: it rested on solid axiomatic foundations, it had seen important breakthroughs in the analytics of risk, risk aversion, and their applications to economic issues, and it stood ready to provide the theoretical underpinnings for the newly emerging “information revolution” in economics. Today choice under uncertainty is a field in flux: the standard theory is being challenged on several grounds from both within and outside economics. The nature of these challenges, and of our profession's responses to them, is the topic of this paper.
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Prospect Theory: An Analysis of Decision under Risk
Daniel Kahneman, Amos Tversky · Econometrica · 1979 · 47K citations
Risk, Ambiguity, and the Savage Axioms
Daniel Ellsberg · The Quarterly Journal of Economics · 1961 · 7.9K citations
Business, Mathematics, Philosophy +12
American Economic Review · 2012 · 6.8K citations
On the psychology of prediction.
Daniel Kahneman, Amos Tversky · Psychological Review · 1973 · 6.3K citations