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POST
/
quantlib
/
economics
/
utility
/
prospect-theory
Prospect Theory Value Function
curl --request POST \
  --url https://finceptbackend.share.zrok.io/quantlib/economics/utility/prospect-theory \
  --header 'Content-Type: application/json' \
  --header 'X-API-Key: <api-key>' \
  --data '
{
  "alpha": 0.88,
  "beta": 0.88,
  "lambda_param": 2.25,
  "wealth": 0,
  "outcome": -100
}
'
{
  "success": true,
  "data": {
    "value": -106.54,
    "marginal": 1.06,
    "loss_aversion_ratio": 2.25
  }
}

Authorizations

​
X-API-Key
string
header
required

API key for authentication. Get your key at https://finceptbackend.share.zrok.io/auth/register

Body

application/json
​
outcome
number
required

Outcome to evaluate (positive = gain, negative = loss relative to reference)

Example:

-100

​
alpha
number
default:0.88

Diminishing sensitivity exponent for gains (typically 0.88)

Required range: 0 <= x <= 1
Example:

0.88

​
beta
number
default:0.88

Diminishing sensitivity exponent for losses (typically 0.88)

Required range: 0 <= x <= 1
Example:

0.88

​
lambda_param
number
default:2.25

Loss aversion parameter (typically 2.25, meaning losses hurt 2.25x more than gains)

Required range: x >= 1
Example:

2.25

​
wealth
number
default:0

Reference point (typically 0 for gains/losses relative to status quo)

Example:

0

Response

Successful Response

​
success
boolean
Example:

true

​
data
object