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Gains and losses: the same or different choices? A “non-ideal” economics approach

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Author Info
Alexander Harin (Ñîâðåìåííàÿ Ãóìàíèòàðíàÿ Àêàäåìèÿ)
Abstract

Ideal economics? A “non-ideal” economics approach has been proposed, which considers the possibility of arrangement infringements. It gives promises for both solving fundamental problems of economic theory and creation of new directions and fields of research. The approach application in relation to choosing between risky and guaranteed outcomes is discussed. The article demonstrates the approach is able to give the same results for both gains and losses, therefore it is able to be a universal one. The concept of the space of “Anything can happen” is introduced. The article gives examples of practical application of the approach in relation to bank deposits, investments, business projects and international activities such as Millennium Dome-like projects and Olympiad-like projects.

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File URL: http://129.3.20.41/eps/if/papers/0509/0509002.pdf
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Publisher Info
Paper provided by EconWPA in its series International Finance with number 0509002.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length: 8 pages
Date of creation: 06 Sep 2005
Date of revision:
Handle: RePEc:wpa:wuwpif:0509002

Note: Type of Document - pdf; pages: 8. Improved version
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Web page: http://129.3.20.41

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Related research
Keywords: risk; choice; investment; bank; industry; market; development; expected utility; risk aversion; insurance;

Find related papers by JEL classification:
C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies

References listed on IDEAS
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  1. ALLARD, Marie & BRONSARD, Camille & GOURIÉROUX Christian, 2003. "Aversion Analysis," Cahiers de recherche 2003-06, Universite de Montreal, Departement de sciences economiques. [Downloadable!]
    Other versions:
    • ALLARD, Marie & BRONSARD, Camille & GOURIÉROUX, Christian, 2003. "Aversion Analysis," Cahiers de recherche 04-2003, Centre interuniversitaire de recherche en économie quantitative, CIREQ. [Downloadable!]
  2. Alexander Harin, 2005. "A new approach to solve old problems," Game Theory and Information 0505005, EconWPA. [Downloadable!]
  3. Tversky, Amos & Wakker, Peter, 1995. "Risk Attitudes and Decision Weights," Econometrica, Econometric Society, vol. 63(6), pages 1255-80, November. [Downloadable!] (restricted)
  4. Carmela Di Mauro & Anna Maffioletti, 2004. "Attitudes to risk and attitudes to uncertainty: experimental evidence," Applied Economics, Taylor and Francis Journals, vol. 36(4), pages 357-372, March. [Downloadable!] (restricted)
  5. Massimo Egidi, 2005. "From Bounded Rationality to Behavioral Economics," Experimental 0507002, EconWPA. [Downloadable!]
  6. William N. Goetzmann & Roger Ibbotson, 2005. "History and the Equity Risk Premium," Yale School of Management Working Papers ysm448, Yale School of Management. [Downloadable!]
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This page was last updated on 2009-11-13.


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