Journal ArticleDOI
Precautionary saving and fuzzy information
TLDR
The authors consider a two-period life-cycle model where uncertainty about future labour income is modelled by a fuzzy set and apply a defuzzification strategy that explicitly takes the individual's behaviour towards risk into account.About:
This article is published in Economics Letters.The article was published on 2001-01-01. It has received 7 citations till now. The article focuses on the topics: Precautionary savings & Defuzzification.read more
Citations
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Can Fuzzy Decision-Making Explain Growing Consumption During Eras of Negative Real Interest Rates?
TL;DR: In this article, the authors explore the use of fuzziness as a distinct source of uncertainty in intertemporal consumption models and demonstrate in simple two-period life-cycle settings that there are some reasonable ranges of individuals' optimism-pessimism and risk aversion for which the optimal consumption is expected to grow 'excessively' despite negative real interest rate.
Book ChapterDOI
Ultimatum Games and Fuzzy Information
Philip Sander,Peter Stahlecker +1 more
TL;DR: This work considers the proposer's decision process in an ultimatum game where his uncertainty with respect to the responder's preferences and the associated acceptance threshold is modeled by a fuzzy set and derives an explicit solution for a specific class of fuzzy sets.
References
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Journal ArticleDOI
Fuzzy Set Theory and Its Applications
TL;DR: In this paper, a new book about fuzzy set theory and its applications is presented, which can be used to explore the knowledge of the knowledge in a new way, even for only few minutes to read a book.
Posted Content
Precautionary Saving in the Small and in the Large
TL;DR: The Arrow-Pratt theory of risk aversion was shown to be isomorphic to the theory of optimal choice under risk in this paper, making possible the application of a large body of knowledge about risk aversion to precautionary saving.
ReportDOI
Precautionary Saving in the Small and in the Large.
TL;DR: In this paper, the Arrow-Pratt theory of risk aversion is applied to the theory of optimal choice under risk, and a measure of the strength of the precautionary saving motive analogous to the ArrowPratt measure of risk avoidance is used to establish a number of new propositions about the necessity of saving and give a new interpretation of the Dreze-Modigliani substitution effect.
Journal ArticleDOI
Saving and Uncertainty: The Precautionary Demand for Saving
TL;DR: In this article, a two-period model was developed to analyze rigorously the precautionary demand for saving, which is defined as the extra saving caused by future income being random rather than determinate.