An additively separable representation in the Savage framework
This paper proposes necessary and sufficient conditions for an additively separable representation of preferences in the Savage framework (where the objects of choice are acts: measurable functions from an infinite set of states to a potentially finite set of consequences). A preference relation over acts is represented by the integral over the subset of the product of the state space and the consequence space which corresponds to the act, where this integral is calculated with respect to an evaluation measure on this space. The result requires neither Savage's P3 (monotonicity) nor his P4 (weak comparative probability). Nevertheless, the representation it provides is as useful as Savage's for many economic applications.
Year of publication: |
2010
|
---|---|
Authors: | Hill, Brian |
Published in: |
Journal of Economic Theory. - Elsevier, ISSN 0022-0531. - Vol. 145.2010, 5, p. 2044-2054
|
Publisher: |
Elsevier |
Keywords: | Expected utility Additive representation State-dependent utility Monotonicity |
Saved in:
Saved in favorites
Similar items by person
-
Hill, Brian, (1991)
-
Hill, Brian, (1998)
-
Hill, Brian, (1993)
- More ...