Theory and Decision 

About: Theory and Decision is an academic journal published by Springer Science+Business Media. The journal publishes majorly in the area(s): Expected utility hypothesis & Game theory. It has an ISSN identifier of 0040-5833. Over the lifetime, 1937 publications have been published receiving 38244 citations.

The outranking approach and the foundations of electre methods

Abstract: In the first part of this paper, we describe the main features of real-world problems for which the outranking approach is appropriate and we present the concept of outranking relations. The second part is devoted to basic ideas and concepts used for building outranking relations. The definition of such outranking relations is given for the main ELECTRE methods in Part 3. The final part of the paper is devoted to some practical considerations.

The structure of random utility models

Abstract: I am grateful to Joseph B. Kadane for numerous constructive suggestions offered during discussions of this research. The financial sponsorship of the U.S. Department of Transportation through grant DOT-OS-4006 is also acknowledged. The opinions and conclusions expressed herein are solely those of the author.

Counterintuitive behavior of social systems

Abstract: This paper addresses several issues of broad concern in the United States: population trends; the quality of urban life; national policy for urban growth; and the unexpected, ineffective, or detrimental results often generated by government programs in these areas. The author does attempt to indicate how multiloop feed-back systems (to which our social systems belong) mislead us because our intuition and judgement have been formed to expect behavior different from that actually possessed by such systems. At times programs cause exactly the reverse of desired results. It is now possible to explain how such contrary results can happen. There are fundamental reasons why people misjudge the behavior of social systems. There are orderly processes at work that frequently lead people to wrong decisions when faced with complex and highly interacting systems. Until we come to a much better understanding of social systems, we should expect that attempts to develop corrective programs will continue to disappoint us.

Thirteen theorems in search of the truth

Abstract: We review recent work on the accuracy of group judgmental processes as a function of (a) the competences (judgmental accuracies) of individual group members, (b) the group decision procedure, and (c) group size. This work on individual competence and group accuracy represents an important contribution to democratic theory and a useful complement to the usual emphasis in the social choice literature on individual preference and preference aggregation mechanisms. The work reported on is rooted in a tradition which goes back to scholars such as Condorcet, Poisson, and Bayes.

Consequentialist foundations for expected utility

Abstract: Behaviour norms are considered for decision trees which allow both objective probabilities and uncertain states of the world with unknown probabilities. Terminal nodes have consequences in a given domain. Behaviour is required to be consistent in subtrees. Consequentialist behaviour, by definition, reveals a consequence choice function independent of the structure of the decision tree. It implies that behaviour reveals a revealed preference ordering satisfying both the independence axiom and a novel form of sure-thing principle. Continuous consequentialist behaviour must be expected utility maximizing. Other plausible assumptions then imply additive utilities, subjective probabilities, and Bayes' rule.