Subjective Expected Utility Theory without States of the World

Research, Preprint OPEN
Karni, Edi;
  • Publisher: Baltimore, MD: The Johns Hopkins University, Department of Economics
  • Subject: Prinzipal-Agent-Theorie | Entscheidungstheorie | Erwartungsnutzen | states of the world | Subjective expected utility | D81 | Theorie
    • ddc: ddc:330

This paper develops an axiomatic theory of decision making under uncertainty that dispenses with the state space. The results are subjective expected utility models with unique, action-dependent, subjective probabilities, and a utility function defined over wealth-effec... View more
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