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Keyword: uncertainty


Insurance at Risk (11/10/2000)

Genetic test results on fatal diseases could lead to adverse selection of membership in life and health insurance if unfavorable results are concealed from insurers.

Keywords: adverse selection, asymmetric information, exclusion principle, genetic tests, health insurance, Huntington's disease, life insurance, premium, risk, risk pooling, uncertainty

The Origin of Predictable Behavior (11/5/1999)

Economic behavior is predictable largely because bounded rationality leads people to adopt rules of thumb which display greater regularity than does optimization.

Keywords: behavior, bounded rationaltiy, flexibility, institutions, optimization, predictability, rationality, regularity, reliability condition, rules, sunk costs, uncertainty