A two volume reference collecting 46 seminal and contemporary articles that signal the past two decades' theoretical advances in the understanding of the process of economic decision making under risk and uncertainty. The first volume deals with situations of risk when probability distributions can be used to describe the lack of certainty involved in the decision process, and the second deals with situations of uncertainty when probability distributions are not associated with uncertain outcomes. The contributing economists write with a flair and creativity reserved for the upper echelon of the field, offering interesting insights into rarer topics such as the economics of optimism and pessimism, and the updating of ambiguous beliefs, along with more traditional, technical economic expositions. Includes equations. Annotation c. by Book News, Inc., Portland, Or.