List of Figures

3.1

Indifference curve map

3.2

Indifference curves and consumer equilibrium

3.3

Moment utility of two colonoscopies

3.4

Equilibrium with face-value interpretation

3.5

Equilibrium with weak diagnostic utility

3.6

Equilibrium with moderate diagnostic utility

3.7

Equilibrium with strong diagnostic utility

5.1

EUT utility function

5.2

Rank-dependent probability weighting function with inverted S-shape

5.3

Friedman–Savage utility function

5.4

Markowitz utility function

5.5

PT utility function

5.6

A typical PT weighting function (1979 version)

5.7

A typical PT weighting function (1992 version)

5.8

Empirical decision-weighting function for TK data

5.9

TAX model

8.1

Shapes of discount functions

8.2

Exponential discounting and consistent time preferences

8.3

Hyperbolic discounting and inconsistent time preferences

8.4

Trend in household savings rates

9.1

Extensive form of ultimatum game

9.2

Extensive form of ultimatum game (Figure 9.1 repeated)

9.3

Cournot response curves

9.4

Centipede game

10.1

Disappointment/retaliation game

10.2

Centipede game with reciprocity

10.3

Wason Test

10.4

Wason Test in terms of a social contract

10.5

Wason Test in terms of a switched social contract

10.6

Wason Test in terms of different perspectives

10.7

Evolution of cooperation in public goods game

11.1   

The Easterlin paradox (US, 1973–2004)