083063 (E12) A test of rank-dependent utility in the context of ambiguity : Fennema H., Wakker P., Journal of Risk and Uncertainty, 1996, volume 13, nr. 1, pp. 19–35

• Publisher: Elsevier Science
• Year: 1997
• Tongue: English
• Weight: 84 KB
• Volume: 19
• Category: Article
• ISSN: 0167-6687
• DOI: 10.1016/s0167-6687(97)81728-3

✦ Synopsis

uncertainties at the time of the market, including, for example, damages to all patties, no just to the insured. In all ideal system, premiums depend only on the total damage in a given state, not on its distribution over individuals. In particular, mitigation measures are optimally induced. The differences between the ideal model of insurance and the real world are described, and some explanations offered,