James Chen, CMT is an expert trader, investment adviser, and global market strategist. Thomas J. Brock is a CFA and CPA with more than 20 years of experience in various areas including investing, ...

American Journal of Agricultural Economics, Vol. 74, No. 3 (Aug., 1992), pp. 523-533 (11 pages) A nonparametric test of the expected utility hypothesis is developed in this paper. The expected utility ...

This paper begins by observing that any reflexive binary (preference) relation (over risky prospects) that satisfies the independence axiom admits a form of expected utility representation. We refer ...

This column explains why investment practice diverges from his theory. Let’s begin with Samuelson’s logic. His assertion is founded on the mathematical truth that while the annualized rate of return ...

A GREAT deal of economic theory turns on how people cope with risk—one of the least escapable facts of economic life. The model that most economists rely on when they need to take account of risk in ...