determining which events are unambiguous, is relatively straightforward for many
parametric models of preferences. For preferences that satisfy Certainty Independence
(e.g., CEU and MEU), Ghirardato et al. show that
C
is the Clarke (1983) differential of
the function that represents preferences, evaluated at 0. For instance, an expected utility
preference with prior μ has a single relevant prior, namely μ—a basic check that indi-
cates the soundness of the definition; a MEU preference with priors
C
has precisely
C
as
the set of relevant priors. Ghirardato and Siniscalchi (2012) provide a general character ...
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