Preferences for Shifts in Probabilities and Expected Utility Theory

We translate preferences over lotteries into preferences over “shifts in probabilities”. We define the independence axiom for such preferences. Next we construct and expected utility function to represent the preferences and present the corresponding additive geometry.

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Year of publication:	2007
Authors:	Cantalá, David
Published in:	Estudios Económicos. - Centro de Estudios Económicos. - Vol. 22.2007, 1, p. 99-109
Publisher:	Centro de Estudios Económicos
Subject:	expected utility theory \| cardinality

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Type of publication:	Article
Language:	English
Classification:	D81 - Criteria for Decision-Making under Risk and Uncertainty
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005628729