A matter of interpretation: bargaining over ambiguous contracts (2009)
Grant, Simon, Kline, Jeff, Quiggin, John
We present a formal treatment of contracting in the face of ambiguity. The central idea is that boundedly rational individuals will not always interpret the same situation in the same way. More...
A matter of interpretation: bargaining over ambiguous contracts (2009)
Grant, Simon, Kline, Jeff, Quiggin, John
We present a formal treatment of contracting in the face of ambiguity. The central idea is that boundedly rational individuals will not always interpret the same situation in the same way. More...
Neo-additive capacities and updating (2009)
Eichberger, Jürgen, Grant, Simon, Lefort, Jean-Philippe
This paper shows that, for CEU preferences, the axioms consquentialism, state independence and conditional certainty equivalent consistency under updating characterise a family of capacities, called...
Frameworks of competence: common or specific? (2006)
Please, cite this publication as: Grant, S. (2006). Frameworks of competence: common or specific?. Proceedings of International Workshop in Learning Networks for Lifelong Competence Development,...
The risk premium for equity: implications for resource allocation, welfare and policy (2006)
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
What Does the Equity Premium Mean? (2005)
Simon Grant and John Quiggin argue that taking the equity premium seriously---the well-known fact that the average annual historical return of stocks is seven times that of government bonds and other...
What Does the Equity Premium Mean? (2005)
Simon Grant and John Quiggin argue that taking the equity premium seriously---the well-known fact that the average annual historical return of stocks is seven times that of government bonds and other...
What Does the Equity Premium Mean? (2005)
Simon Grant and John Quiggin argue that taking the equity premium seriously---the well-known fact that the average annual historical return of stocks is seven times that of government bonds and other...
What Does the Equity Premium Mean? (2005)
Simon Grant and John Quiggin argue that taking the equity premium seriously---the well-known fact that the average annual historical return of stocks is seven times that of government bonds and other...
Chivukula Mamatha, Dincer HE, Biller Julie, Krouwer Hendrikus, Simon Grant, Shidham Vinod
Abstract Background As extra-cranial metastasis of glioblastoma multiforme (GBM) is rare, it may create a diagnostic dilemma especially during interpretation of fine needle aspiration biopsy (FNAB)...
Why does it matter that beliefs and valuations be correctly represented (2005)
This paper contains an analysis of a simple principal-agent problem illustrating possible problems that may arise when the prinicpal ascribes to the agent subjective probabilities and utilities that...
What Does the Equity Premium Mean? (2005)
Simon Grant and John Quiggin argue that taking the equity premium seriously—-the well-known fact that the average annual historical return of stocks is seven times that of government bonds and...
Noise trader risk and the welfare effects of privatization (2004)
Grant, Simon, Quiggin, John C.
Excessive volatility of asset prices like that generated in the 'noise trader' model of De Long et al. is one factor that plausibly might contribute to an explanation of the equity premium. We extend...
Channer, Kevin S., Birchall, Andrew, Steeds, Richard P., Walters, Stephen J., Yeo, Wilf W., West, John N., ...
Aims The efficacy of cardioversion (DCCV) for restoration of sinus rhythm (SR) in persistent atrial fibrillation (AF) is limited by a high relapse rate. Relapse may be reduced by amiodarone but no...
Why Does it Matter that Beliefs and Valuations be Correctly Represented? (2002)
This paper contains an analysis of a simple principal-agent problem illustrating possible problems that may arise when the prinicpal ascribes to the agent subjective probabilities and utilities that...
The Equity Premium Puzzle: Explanations and Implications (2001)
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
A Model-Free Definition of Increasing Uncertainty (2001)
We present a definition of increasing uncertainty, independent of any notion of subjective probabilities, or of any particular model of preferences. Our notion of an elementary increase in the...
Noise Trader Risk and the Political Economy of Privatisation (2001)
The 'noise trader' model of De Long et al. provides a plausible account of the determination of the equity premium. Extension of the model to allow for privatization of publicly-owned assets yields...
Noise Trader Risk and the Political Economy of Privatisation (2001)
The 'noise trader' model of De Long et al. provides a plausible account of the determination of the equity premium. Extension of the model to allow for privatization of publicly-owned assets yields...
The Equity Premium Puzzle: Explanations and Implications (2001)
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
A Model-Free Definition of Increasing Uncertainty (2001)
We present a definition of increasing uncertainty, independent of any notion of subjective probabilities, or of any particular model of preferences. Our notion of an elementary increase in the...
Noise Trader Risk and the Political Economy of Privatisation (2001)
Grant, Simon, Quiggin, John, School Of Economics
The 'noise trader' model of De Long et al. provides a plausible account of the determination of the equity premium. Extension of the model to allow for privatization of publicly-owned assets yields...
The Equity Premium Puzzle: Explanations and Implications (2001)
Grant, Simon, Quiggin, John, School Of Economics
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
A Model-Free Definition of Increasing Uncertainty (2001)
Grant, Simon, Quiggin, John, School Of Economics
We present a definition of increasing uncertainty, independent of any notion of subjective probabilities, or of any particular model of preferences. Our notion of an elementary increase in the...
Noise Trader Risk and the Political Economy of Privatisation (2001)
The 'noise trader' model of De Long et al. provides a plausible account of the determination of the equity premium. Extension of the model to allow for privatization of publicly-owned assets yields...
The Equity Premium Puzzle: Explanations and Implications (2001)
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
A Model-Free Definition of Increasing Uncertainty (2001)
We present a definition of increasing uncertainty, independent of any notion of subjective probabilities, or of any particular model of preferences. Our notion of an elementary increase in the...
Noise Trader Risk and the Political Economy of Privatisation (2001)
The 'noise trader' model of De Long et al. provides a plausible account of the determination of the equity premium. Extension of the model to allow for privatization of publicly-owned assets yields...
The Equity Premium Puzzle: Explanations and Implications (2001)
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
A Model-Free Definition of Increasing Uncertainty (2001)
We present a definition of increasing uncertainty, independent of any notion of subjective probabilities, or of any particular model of preferences. Our notion of an elementary increase in the...
A Theory of Quantifiable Beliefs (2000)
Building upon the works of Anscombe and Aumann (1963) and Karni and Schmeidler (1981), we develop a general axiomatic theory of quantifiable beliefs - a form of probabilistic sophistication that does...
A Theory of Quantifiable Beliefs (2000)
Building upon the works of Anscombe and Aumann (1963) and Karni and Schmeidler (1981), we develop a general axiomatic theory of quantifiable beliefs - a form of probabilistic sophistication that does...
A Theory of Quantifiable Beliefs (2000)
Grant, Simon, Karni, Edi, School Of Economics
Building upon the works of Anscombe and Aumann (1963) and Karni and Schmeidler (1981), we develop a general axiomatic theory of quantifiable beliefs - a form of probabilistic sophistication that does...
A Theory of Quantifiable Beliefs (2000)
Building upon the works of Anscombe and Aumann (1963) and Karni and Schmeidler (1981), we develop a general axiomatic theory of quantifiable beliefs - a form of probabilistic sophistication that does...
Different Notions of Disappointment Aversion. (2000)
Simon Grant, Atsushi Kajii, Ben Polak
We discuss three notions of disappointment aversion, due to Gul (1991), Grant & Kajii (1998) and Skiadas (1997a,b), explaining how they di#er. In the case of Gul and Skiadas we illustrate this...
Third down with a yard to go: Recursive Expected Utility and the Dixit-Skeath Conundrum (2000)
Simon Grant, Atsushi Kajii, Ben Polak
In two-outcome strictly-competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show...
A Theory of Quantifiable Beliefs (2000)
Building upon the works of Anscombe and Aumann (1963) and Karni and Schmeidler (1981), we develop a general axiomatic theory of quantifiable beliefs - a form of probabilistic sophistication that does...
"Third down and a yard to go": the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Grant, Simon, Kajii, Atsushi, Ploak, Ben
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
"Third down and a yard to go": the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Grant, Simon, Kajii, Atsushi, Ploak, Ben
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
"Third down and a yard to go": the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Grant, Simon, Kajii, Atsushi, Ploak, Ben
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
"Third down and a yard to go": the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Grant, Simon, Kajii, Atsushi, Ploak, Ben, School Of Economics
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
"Third down and a yard to go": the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Grant, Simon, Kajii, Atsushi, Ploak, Ben
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
Bargaining and Boldness (1999)
Albert Burgos, Facultad De Econom¶a, Simon Grant, Atsushi Kajii, Wearegratefultoh. Sekigawaforlettingususehisproofoftheoremainthepaper Wealsothanklin
We study a multi-person bargaining problem with general risk preferences through the use of Shaked's game of cycling offers with exogenous breakdown. If preferences are assumed to be...
Third down with a yard to go: the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Simon Grant, Atsushi Kajii, Ben Polak
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
"Third down and a yard to go": the Dixit-Skeath conundrum on equilibria in competitive games (1999)
Grant, Simon, Kajii, Atsushi, Ploak, Ben
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit & Skeath (1999) argue that this seems counter-intuitive. We show that this...
Promotion of Electronic Commerce by a Regional Centre (1998)
Paul Leng, Colin Charlton, Simon Grant, Irene Neilson
The emergence of the World Wide Web, together with current and anticipated developments in network technology, are likely to lead in the near future to the use of the Internet becoming part of...
The meeting place problem: Salience and search (1998)
The notion of salience was developed by Schelling in the context of the meeting place problem of locating a partner in the absence of a pre-agreed meeting place. In this paper, we argue that a...
Temporal Resolution of Uncertainty and Recursive Non-Expected Utility Models (1997)
Simon Grant, Atsushi Kajii, Ben Polak
If an agent (weakly) prefers early resolution of uncertainty then the recursive forms of both the most commonly used non-expected utility models, betweenness and rank dependence, almost reduce to...
Probabilistically Sophisticated Multiple Priors.
We characterize the intersection of the probabilistically sophisticated and multiple prior models. We show this class is strictly larger than the subjective expected utility model and that its...
On the Skiadas 'Conditional Preference Approach' to Choice Under Uncertainty
Simon Grant, Atsushi Kajii, Ben Polak
We compare the Skiadas approach with the standard Savage framework of choice under uncertainty. At first glance, properties of Skiadas "conditional preferences" such as coherence and disappointment...
Preference for Information and Dynamic Consistency
Simon Grant, Atsushi Kajii, Ben Polak
We provide necessary and sufficient conditions for a dynamically consistent agent always to prefer more informative signals (in single-agent problems). These conditions do not imply recursivity,...
Increasing Uncertainty: A Definition
We present a definition of increasing uncertainty, in which an elementary increase in the uncertainty of any act corresponds to the addition of an `elementary bet' that increases consumption by a...
Simon Grant, Atsushi Kajii, Ben Polak
What is the relationship between an agent's attitude towards information, and her attitude towards risk? If an agent always prefers more information, does this imply that she obeys the independence...
Decomposable Choice Under Uncertainty
Simon Grant, Atsushi Kajii, Ben Polak
Savage motivated his Sure Thing Principle by arguing that, whenever an act would be preferred if an event obtains and preferred if that event did not obtain, then it should be preferred overall. The...
Increasing Uncertainty: A Definition
We present a definition of increasing uncertainty, in which an elementary increase in the uncertainty of any act corresponds to the addition of an `elementary bet' that increases consumption by a...
The risk premium for equity: implications for resource allocation, welfare and policy
This paper describes experiences in the development and testing of three distinct financial models to support farm forestry decisions involving non-traditional tree species in northern Australia and...
Grant, Simon, Hilgetag, Claus C.
Current hierarchical models of the cerebral cortex are mainly based on qualitative connection studies. From wheatgerm-agglutinin-horseradish peroxidase injections, we examined the laminar patterns of...
Generalized Utilitarianism and Harsanyi’s Partial Observer Theorem
Simon Grant, Atsushi Kajii, Ben Polak, Zvi Safra
We provide an axiomatization of generalized utilitarian social welfare functions in the context of Harsanyi's impartial observer theorem. To do this, we reformulate Harsanyi's problem such that...
THE RISK PREMIUM FOR EQUITY: IMPLICATIONS FOR RESOURCE ALLOCATION, WELFARE AND POLICY *
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
Lost in Translation: Honest Misunderstandings and Ex Post Disputes
Simon Grant, Jeff Kline, John Quiggin
We give a formal treatment of optimal risk sharing contracts in the face of ambiguity. The central idea is that boundedly rational individuals do not have access to a language sufficiently rich to...
We formulate a dynamic framework for an individual decision-maker within which discovery of previously unconsidered propositions is possible. Using a standard game-theoretic representation of the...
Probabilistic Sophistication and Stochastic Monotonicity in the Savage Framework
Simon Grant, Hatice Ozsoy, Ben Polak
Machina & Schmeidler (1992) show that probabilistic sophistication can be obtained in a Savage setting without imposing expected utility by dropping Savage's axiom P2 (sure-thing principle) and...
Myopic Corporate Behaviour with Optimal Management Incentives.
Garvey, Gerald T, Grant, Simon, King, Stephen P
Existing models in which stock markets lead to corporate 'short-termism' rely on an exogenously imposed objective for top managers. This paper endogenizes both managers' concern for short-term stock...
In most previous work on strategic trade policy, the form of government intervention has been prescribed in advance. In this paper, the authors apply a solution concept discussed by P. D. Klemperer...
Weakening the Sure-Thing Principle: Decomposable Choice under Uncertainty
Simon Grant, Atsushi Kajii, Ben Polak
Savage motivated his Sure-Thing Principle b y arguing that, whenever an act would be preferred if an event obtains and preferred if an event did not obtain, then it should be preferred overall. The...
Dynamically Consistent Preferences with Quadratic Beliefs.
Eichberger, Jurgen, Grant, Simon
This article characterizes a family of preference relations over uncertain prospects that (a) are dynamically consistent in the Machina sense and, moreover, for which the updated preferences are also...
Capital Precommitment and Competition in Supply Schedules.
Although the Cournot and Bertrand equilibrium concepts have dominated economic analysis of oligopoly problems, neither has a compelling theoretical rationale. However, notions of capacity commitment...
Information Externalities, Share-Price Based Incentives and Managerial Behaviour.
Grant, Simon, King, Stephen, Polak, Ben
We survey recent theoretical research on the effects of short-term share-price based managerial incentive schemes. Such schemes can induce inefficient managerial behaviour in both hidden action and...
Public Investment and the Risk Premium for Equity
Analysis of the equity premium puzzle has focused on private--sector capital markets. However, the existence of an anomalous equity premium raises important issues in the evaluation of public--sector...
Information Externalities, Share-Price Based Incentives and Managerial Behaviour
Simon Grant, Stephen King, Ben Polak
We survey recent theoretical research on the effects of short-term share-price based marginal incentive schemes. Such schemes can induce inefficient managerial behaviour in both hidden action and...
Noise Trader Risk and the Welfare Effects of Privatization
Excessive volatility of asset prices like that generated in the 'noise trader' model of De Long et al. is one factor that plausibly might contribute to an explanation of the equity premium. We extend...
Third Down with a Yard to Go: The Dixit-Skeath Conundrum on Equilibria in Competitive Games
Simon Grant, Atsushi Kajii, Ben Polak
In strictly competitive games, equilibrium mixed strategies are invariant to changes in the ultimate prizes. Dixit and Skeath argue that this seems counter-intuitive, and it is a challenge to the...
If an agent's preferences over subjectively uncertain acts are consistent with him having a subjective probability distribution over the states of nature, then those preferences can induce consistent...
WHY DOES IT MATTER THAT BELIEFS AND VALUATIONS BE CORRECTLY REPRESENTED?
This article contains an analysis of a simple principal-agent problem illustrating possible problems that may arise when the prinicpal ascribes to the agent subjective probabilities and utilities...
A simple axiomatization and constructive representation proof for choquet expected utility
Alain Chateauneuf, Jürgen Eichberger, Simon Grant
Keywords and Phrases: Capacity, Choquet expected utility., JEL Classification Numbers: D81.,
What Does the Equity Premium Mean?
Simon Grant and John Quiggin argue that taking the equity premium seriously---the well-known fact that the average annual historical return of stocks is seven times that of government bonds and other...
Increasing Uncertainty: A Definition
We present a definition of increasing uncertainty, in which an elementary increase in the uncertainty of any act corresponds to the addition of an `elementary bet' that increases consumption by a...
Choice under Uncertainty with the Best and Worst in Mind: Neo-additive Capacities
Grant, Simon, Chateauneuf, A., Eichberger, J.
The concept of a non-extreme-outcome-additive capacity (neo-additive capacity ) is introduced. Neo-additive capacities model optimistic and pessimistic attitudes towards uncertainty as observed in...
A Simple Axiomatization and Constructive Representation Proof for Choquet Expected Utility
Grant, Simon, Chateauneuf, Alain, Eichberger, Jurgen
We provide a simple and intuitive set of axioms that allow for a direct and constructive proof of the Choquet Expected Utility representation for decision making under uncertainty.
Accident of Birth, Life Chances adn the Impartial Observer
Grant, Simon, Kajii, A., Polak, B.
We confront two common objections to Harsanyi's impartial observer theorem: one to do with 'fairness', and the other to do with different individuals' having different attitudes toward risk. Both...
Auctions with Options to Re-auction
Grant, Simon, Kajii, Atsushi, Menezes, Flavio, Ryan, Matthew
We examine a dynamic model of English auctions with independent private values. There is a single object for sale and it is not possible for the seller, who has a value of zero for the object, to...
The Risk Premium for Equity: Implicatiosn for Resource Allocation, Welfare adn Policy
Analysis of the equity premium puzzle has focused on private sector capital markets. The object of this paper is to consider the welfare and policy implications of each of the broad classes of...
Noise Trader and the Welfare Effects of Privatization
Excessive volatility of asset prices like that generated in the 'noise trader' model of De Long et al. is one factor that plausibly might contribute to an explanation of the equity premium. We extend...
Why Does It Matter That Beliefs and Valuations Be Correctly Represented?
This paper contains an analysis of a simple principal-agent problem illustrating possible problems that arise when the principal ascribes to the agent subjective probabilities and utilities that are...
Probabilistic sophistication and stochastic monotonicity in the Savage framework
Grant, Simon, Özsoy, Hatice, Polak, Ben
Machina and Schmeidler [Machina, M., Schmeidler, D., 1992. A more robust definition of subjective probability. Econometrica 60, 745-780] show that probabilistic sophistication can be obtained in a...
Differentiating ambiguity: an expository note
Jürgen Eichberger, Simon Grant, David Kelsey
Ambiguity, Multiple priors, Invariant biseparable preferences, Hurwicz preferences, D81,
Choice under Uncertainty with the Best and Worst in Mind: Neo-additive Capacities.
Chateauneuf, Alain, Eichberger, Jürgen, Grant, Simon
The concept of a non-extreme-outcome-additive capacity (neo-additive capacity ) is introduced. Neo-additive capacities model optimistic and pessimistic attitudes towards uncer-tainty as observed in...
A Simple Axiomatization and Constructive Representation Proof for Choquet Expected Utility
Chateauneuf, Alain, Eichberger, Jürgen, Grant, Simon
We provide a set of simple and intuitive axioms that allow for a direct and constructive proof of the Choquet Expected Utility representation for decision making under uncertainty.
CEU Preferences and Dynamic Consistency
Grant, Simon, Eichberger, Jürgen, Kelsey, David
This paper investigates the dynamic consistency of CEU preferences. A decision maker is faced with an information structure represented by a fixed filtration. If beliefs are represented by a convex...
Neo-additive capacities and updating
Eichberger, Jürgen, Grant, Simon, Lefort, Jean-Philippe
This note shows that capacities satisfying the axioms consquentialism, state independence and conditional certainty equivalent consistency under updating are a generalised version of neoadditive...
What Does the Equity Premium Mean?
Simon Grant and John Quiggin argue that taking the equity premium seriously---the well-known fact that the average annual historical return of stocks is seven times that of government bonds and other...
A note on concave utility functions
Martin Monti, Simon Grant, Daniel Osherson
Gambling, Risk aversion, Concave utility function, Expected utility, Prospect theory,
Accidents of Birth, Life Chances and the Impartial Observer
Simon Grant, Atsushi Kajii, Ben Polak
We confront two common objections to Harsanyi's impartial observer theorem; one to do with 'fairness', and the other to do with different individuals' having different attitudes toward risk. Both...
What Does the Equity Premium Mean?
Simon Grant and John Quiggin argue that taking the equity premium seriously—-the well-known fact that the average annual historical return of stocks is seven times that of government bonds and...
Neo-additive capacities and updating
Eichberger, Jürgen, Grant, Simon, Lefort, Jean-Philippe
This paper shows that, for CEU preferences, the axioms consquentialism, state independence and conditional certainty equivalent consistency under updating characterise a family of capacities, called...