Arbeitspapier

Multiple Priors as Similarity Weighted Frequencies

In this paper, we consider a decision-maker who tries to learn the distribution of outcomes from previously observed cases. For each observed sequence of cases the decision-maker predicts a set of priors expressing his beliefs about the underlying probability distribution. We impose a version of the concatenation axiom introduced in BILLOT, GILBOA, SAMET AND SCHMEIDLER (2005) which insures that the sets of priors can be represented as a weighted sum of the observed frequencies of cases. The weights are the uniquely determined similarities between the observed cases and the case under investigation.

Language
Englisch

Bibliographic citation
Series: Discussion Paper Series ; No. 470

Classification
Wirtschaft
Subject
Entscheidung
Statistische Verteilung
Theorie

Event
Geistige Schöpfung
(who)
Eichberger, Jürgen
Guerdjikova, Ani
Event
Veröffentlichung
(who)
University of Heidelberg, Department of Economics
(where)
Heidelberg
(when)
2008

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Eichberger, Jürgen
  • Guerdjikova, Ani
  • University of Heidelberg, Department of Economics

Time of origin

  • 2008

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