IDEAS home Printed from https://ideas.repec.org/a/ecm/emetrp/v57y1989i5p1153-69.html
   My bibliography  Save this article

Expectation and Variation in Multi-period Decisions

Author

Listed:
  • Gilboa, Itzhak

Abstract

This paper suggests an alternative to the weighted average utility maximization as a criterion for multiperiod decisions. A weakened version of Savage's sure-thing principle, imposed on Schmeidler's nonadditive measure model, yields decision rules which involve a weighted average of utility, as well as a weighted average of the utility's variation between each two consecutive periods. The analysis allows for definition and characterization of variation aversion, liking, and neutrality. Copyright 1989 by The Econometric Society.

Suggested Citation

  • Gilboa, Itzhak, 1989. "Expectation and Variation in Multi-period Decisions," Econometrica, Econometric Society, vol. 57(5), pages 1153-1169, September.
  • Handle: RePEc:ecm:emetrp:v:57:y:1989:i:5:p:1153-69
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0012-9682%28198909%2957%3A5%3C1153%3AEAVIMD%3E2.0.CO%3B2-7&origin=repec
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ecm:emetrp:v:57:y:1989:i:5:p:1153-69. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/essssea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.