Choices, Values, and Frames
This book presents a selection of the research that grew from the editors’ early collaboration on “Prospect Theory,” the landmark article that offered the first compelling alternative to the standard “rational agent” model of choice under risk. In the spirit of the highly influential volume Judgment Under Uncertainty, first published in 1982, this book collects numerous theoretical and empirical articles that have become classics, important extensions, and applications that range from principles of legal compensation to the behavior of New York cab drivers on busy days. Several surveys prepared especially for this volume illustrate the scope and vigor of the behavioral study of choice.
Theoretically elegant and empirically robust, the research collected in this volume represents an approach to the science of decision making that has influenced numerous fields of study, including decision theory, behavioral economics and behavioral finance, consumer psychology, the study of negotiation and conflict, medical decision making, legal analysis and practice, well-being studies, political science, and philosophical investigations of rationality and ethics. The book provides an accessible introduction to the study of decision-making behavior and is an indispensable reference source for students and specialists.
Daniel Kahneman and the late Amos Tversky have started a new perspective on the traditional economic categories of choice, decision, and value. A series of experimental and empirical studies by them and others have rejected traditional assumptions of rationality. Even more importantly, these scholars have developed alternative generalizations with significant predictive power and have found empirical verification for them. This outstanding collection of studies will make these new results readily accessible.