Prospect Theory

ebook Decoding Choice, a Journey into Prospect Theory · Economic Science

By Fouad Sabry

cover image of Prospect Theory

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What is Prospect Theory

Prospect theory is a theory of behavioral economics, judgment, and decision making that was established by Daniel Kahneman and Amos Tversky in 1979. Prospect theory was named after the aforementioned scholars. The theory was taken into consideration when Kahneman was selected to receive the Nobel Memorial Prize in Economics in the year 2002.

How you will benefit

(I) Insights, and validations about the following topics:

Chapter 1: Prospect theory

Chapter 2: Behavioral economics

Chapter 3: Risk aversion

Chapter 4: Decision theory

Chapter 5: Loss aversion

Chapter 6: Expected utility hypothesis

Chapter 7: Mental accounting

Chapter 8: Allais paradox

Chapter 9: Stochastic dominance

Chapter 10: Cumulative prospect theory

Chapter 11: Merton's portfolio problem

Chapter 12: Rank-dependent expected utility

Chapter 13: Lévy-Prokhorov metric

Chapter 14: Choquet integral

Chapter 15: Von Neumann-Morgenstern utility theorem

Chapter 16: Certainty effect

Chapter 17: End-of-the-day betting effect

Chapter 18: Mean-field game theory

Chapter 19: Risk aversion (psychology)

Chapter 20: Priority heuristic

Chapter 21: Uncertainty effect

(II) Answering the public top questions about prospect theory.

(III) Real world examples for the usage of prospect theory in many fields.

Who this book is for

Professionals, undergraduate and graduate students, enthusiasts, hobbyists, and those who want to go beyond basic knowledge or information for any kind of Prospect Theory.

Prospect Theory