Comment on Cenci et al. (2015): 'Half-full or half-empty? A model of decision making under risk'

摘要

In this comment, we demonstrate that the decision model proposed by Cenci et al. (2015) can be reformulated as an extension of normalized Prospect Theory and is also related to Disappoint Aversion. These reformulations allow us to understand better the novel ideas in this model and why its choice of the weighting function is in a certain sense natural. Moreover, we point out an interesting connection of the model to risk measures in finance. (C) 2017 Elsevier Inc. All rights reserved.