On a derivation of the Goldstein-Einhorn probability weighting functions (Q785652)

The author derives a necessary and sufficient condition for the indifference bid price on the family of all binary lotteries to coincide with the expected value for binary gambles. The condition is that the probability weighting function must be of Goldstein-Einhorn type (see [\textit{W. M. Goldstein} and \textit{H. J. Einhorn}, Expression theory and the preference reversal phenomenon, Psychol. Rev. 94, 236--254 (1987)]).