首页 | 本学科首页   官方微博 | 高级检索  
     


Cardinal coordinate independence for expected utility
Authors:Peter Wakker
Affiliation:University Nijmegen The Netherland
Abstract:A representation theorem for binary relations on Rn is derived. It is interpreted in the context of decision making under uncertainty. There we consider the existence of a subjective expected utility model to represent a preference relation of a person on the set of bets for money on a finite state space. The theorem shows that, for this model to exist, it is not only necessary (as has often been observed), but it also is sufficient, that the appreciation for money of the person has a cardinal character, independent of the state of nature. This condition of cardinal appreciation is simple and thus easily testable in experiments. Also it may be of help in relating the neo-classical economic interpretation of cardinal utility to the von Neumann-Morgenstern interpretation.
Keywords:Requests for reprints should be sent to Dr. Peter Wakker   Department of Mathematics   University Nijmegen   Toernooiveld   6525 ED Nijmegen   The Netherlands.
本文献已被 ScienceDirect 等数据库收录!
设为首页 | 免责声明 | 关于勤云 | 加入收藏

Copyright©北京勤云科技发展有限公司  京ICP备09084417号