Risk, Uncertainty and Profit

Whilst the greatest effort has been made to ensure the quality of this text, due to the historical nature of this content, in some rare cases there may be minor issues with legibility. Risk, Uncertainty, and Profit is a book about economics, and the distinction between risk and uncertainty. Knight defined uncertain situations as those in which the outcome was unknowable, whereas risky situations were those in which the outcome was determined by probability distributions that could be evaluated at the outset. The book is divided into twelve chapters, each of which focuses on a different aspect of Knight''s theory. Specific chapters are devoted to the place of profit and uncertainty in economic theory, the theory of choice and exchange, structures and measured for meeting uncertainty, and the social aspects of uncertainty, amongst other topics. Frank Knight was a talented economist and a skilled writer. His work in Risk, Uncertainty, and