Journal ArticleDOI
Transitive measurable utility
TLDR
In this paper, the authors study theories of preferences under risk that do not use the independence axiom of the von Neumann-Morgenstern theory and show that preferences are transitive.About:
This article is published in Journal of Economic Theory.The article was published on 1983-12-01. It has received 292 citations till now. The article focuses on the topics: Axiom independence.read more
Citations
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Book ChapterDOI
Rational choice and the framing of decisions
Amos Tversky,Daniel Kahneman +1 more
TL;DR: In this article, the authors trace the violations of the rational theory of choice to the rules that govern the framing of decision and to the psychological principles of evaluation embodied in prospect theory, and argue that these rules are normatively essential but descriptively invalid.
Journal ArticleDOI
Developments in Non-expected Utility Theory: The Hunt for a Descriptive Theory of Choice under Risk
TL;DR: A review of recent developments in the economic theory of individual decision making under risk can be found in this article, where the authors assess alternative models in terms of empirical success and theoretical usefulness.
Journal ArticleDOI
Recent developments in modeling preferences: Uncertainty and ambiguity
Colin F. Camerer,Martin Weber +1 more
TL;DR: In subjective expected utility (SEU), the decision weights people attach to events are their beliefs about the likelihood of events as discussed by the authors, and it has been shown that people prefer to bet on events they know more about.
Posted Content
The Origin of Predictable Behavior
TL;DR: In economics, this critique has been persistently attacked as an acceptable explanation of behavior as discussed by the authors, which has been taken various forms which include information processing limitations in computing optima from known preference or utility information, unreliable probability information about complex environmental contingencies, and the absence of a well-defined set of alternatives or consequences.
References
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Book
Theory of Games and Economic Behavior
TL;DR: Theory of games and economic behavior as mentioned in this paper is the classic work upon which modern-day game theory is based, and it has been widely used to analyze a host of real-world phenomena from arms races to optimal policy choices of presidential candidates, from vaccination policy to major league baseball salary negotiations.
Journal ArticleDOI
Le comportement de l'homme rationnel devant le risque : critique des postulats et axiomes de l'ecole americaine
Book
Utility theory for decision making
TL;DR: This book presents a concise yet mathematically complete treatment of modern utility theories that covers nonprobabilistic preference theory, the von Neumann-Morgenstern expected-utility theory and its extensions, and the joint axiomatization of utility and subjective probability.