Preference for flexibility in a savage framework

Article Abstract:

A study was conducted to compare the expected indirect utility maximization in situations when the agents are unaware of the opportunities that they are going to face and when they know about the outcome. An axiom called 'Indirect Stochastic Dominance' was proposed, which expresses that having more opportunities in expectation is better. The axiom strengthens the theory that preference sets exhibit more flexibility than opportunity sets, and thus, preferred by most individuals when they make their decisions.

---

Internal consistency of choice

Article Abstract:

An analysis of the notion concerning the internal consistency of choice is presented. The consistency notion has been a vital aspect of theories including demand, socialchoice, decision, behavioral economics and other related subjects. It is shown that the notion requires the support of an external variable which complements choice behavior to be consistent and acceptable. The analysis is applied to theArrow's General Possibility Theorem.

---

Maximization and the act of choice

Article Abstract:

A maximization framework analyzes the role of choice act in maximizing behavior. The approach explains the relationship between the process and necessity of choices in disorganized alternatives and unresolved considerations. It uses an "if" condition and a game theory for a unidirectional convergence of maximization and optimization. It also shows the significance of the choice act in economic policy-making.

Econometrics & Model Building, Behavior Theory, Analysis, Econometrics, Human behavior, Choice (Psychology), Game theory, Rationalization (Psychology), Mathematical optimization, Optimization theory, Business models, Ranking and selection (Statistics), Norm (Philosophy), Games of strategy (Mathematics)

Similar abstracts:

• Abstracts: A discrete stochastic model for investment with an application to the transaction costs case. Optimal investment with taxes: An existence result
• Abstracts: Existence and uniqueness of optimal consumption and portfolio rules in a continuous-time finance model with habit formation and without short sales
• Abstracts: On intertemporal preferences in continuous time: the case of certainty. Benefit functions and duality
• Abstracts: Existence and properties of a value allocation for an economy with differential information. Uniform continuity of information combination: a corrigendum
• Abstracts: The sure-thing principle and the comonotonic sure-thing principle: an axiomatic analysis. The topographical approach

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.