2381/37750 Martin Kaae Jensen Martin Kaae Jensen Maria Kozlovskaya Maria Kozlovskaya A Representation Theorem for Guilt Aversion University of Leicester 2016 Guilt aversion Utility representation Psychological games 2016-06-14 12:11:08 Journal contribution https://figshare.le.ac.uk/articles/journal_contribution/A_Representation_Theorem_for_Guilt_Aversion/10130960 Guilt aversion has been shown to play an important role in economic decision-making. In this paper, we take an axiomatic approach to guilt by deducing a utility representation from a list of easily interpretable assumptions on an agent's preferences. It turns out that our logarithmic representation can mitigate the problem of multiplicity of equilibria to which psychological games are prone. We apply the model in three well-known games and show that its predictions are consistent with experimental observations.