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Theory of Games and Economic Behavior

Princeton, NJ, USA: Princeton University Press (1944)

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  1. The Noema as Nash Equilibrium. Husserlian Phenomenology and Game Theory.Luca M. Possati - 2020 - Philosophia 48 (3):1147-1170.
    The noema is one of the most daring and controversial concept of the Husserlian theory of intentionality. It was first introduced by Husserl in 1912, within some research manuscripts, but was only fully developed in Ideen. In this paper I claim that the noema is an ambiguous notion, the result of a theoretical operation, the epoché, whose aim is contradictory. In an effort to keep open the epoché, and therefore maintain distance with respect to every transcendent object, Husserl is forced (...)
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  • Political influence in multi-choice institutions: cyclicity, anonymity, and transitivity. [REVIEW]Roland Pongou, Bertrand Tchantcho & Lawrence Diffo Lambo - 2011 - Theory and Decision 70 (2):157-178.
    We study political influence in institutions where each member chooses a level of support for a collective goal. These individual choices determine the degree to which the goal is reached. Influence is assessed by newly defined binary relations, each of which ranks members on the basis of their relative performance at a corresponding level of participation. For institutions with three options (e.g., voting games in which each voter may vote “yes”, “abstain”, or vote “no”), we obtain three influence relations, and (...)
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  • Rational choice and action omnipotence.John L. Pollock - 2002 - Philosophical Review 111 (1):1-23.
    Counterexamples are constructed for the theory of rational choice that results from a direct application of classical decision theory to ordinary actions. These counterexamples turn on the fact that an agent may be unable to perform an action, and may even be unable to try to perform an action. An alternative theory of rational choice is proposed that evaluates actions using a more complex measure, and then it is shown that this is equivalent to applying classical decision theory to "conditional (...)
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  • What is Wrong with Rational Suicide.Avital Pilpel & Lawrence Amsel - 2011 - Philosophia 39 (1):111-123.
    Recently, the ‘right to die’ became a major social issue. Few agree suicide is a right tout court. Even those who believe suicide (‘regular’, passive, or physician-assisted) is sometimes morally permissible usually require that a suicide be ‘rational suicide’: instrumentally rational, autonomous, due to stable goals, not due to mental illness, etc. We argue that there are some perfectly ‘rational suicides’ that are, nevertheless, bad mistakes. The concentration on the rationality of the suicide instead of on whether it is a (...)
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  • The past of predicting the future: A review of the multidisciplinary history of affective forecasting.Maya A. Pilin - 2021 - History of the Human Sciences 34 (3-4):290-306.
    Affective forecasting refers to the ability to predict future emotions, a skill that is essential to making decisions on a daily basis. Studies of the concept have determined that individuals are often inaccurate in making such affective forecasts. However, the mechanisms of these errors are not yet clear. In order to better understand why affective forecasting errors occur, this article seeks to trace the theoretical roots of this theory with a focus on its multidisciplinary history. The roots of affective forecasting (...)
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  • Open access publishing: a service or a detriment to science?Graham J. Pierce & Ioannis Theodossiou - 2018 - Ethics in Science and Environmental Politics 18:37-48.
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  • Games as formal tools versus games as explanations in logic and science.Ahti-Veikko Pietarinen - 2003 - Foundations of Science 8 (4):317-364.
    This paper addresses the theoretical notion of a game as it arisesacross scientific inquiries, exploring its uses as a technical andformal asset in logic and science versus an explanatory mechanism. Whilegames comprise a widely used method in a broad intellectual realm(including, but not limited to, philosophy, logic, mathematics,cognitive science, artificial intelligence, computation, linguistics,physics, economics), each discipline advocates its own methodology and aunified understanding is lacking. In the first part of this paper, anumber of game theories in formal studies are critically (...)
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  • Risk aversion for losses and the Nash bargaining solution.Hans Peters - 2021 - Theory and Decision 92 (3-4):703-715.
    We call a decision maker risk averse for losses if that decision maker is risk averse with respect to lotteries having alternatives below a given reference alternative in their support. A two-person bargaining solution is called invariant under risk aversion for losses if the assigned outcome does not change after correcting for risk aversion for losses with this outcome as pair of reference levels, provided that the disagreement point only changes proportionally. We present an axiomatic characterization of the Nash bargaining (...)
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  • From outcomes to acts: A non-standard axiomatization of the expected utility principle.Martin Peterson - 2004 - Journal of Philosophical Logic 33 (4):361-378.
    This paper presents an axiomatization of the principle of maximizing expected utility that does not rely on the independence axiom or sure-thing principle. Perhaps more importantly the new axiomatization is based on an ex ante approach, instead of the standard ex post approach. An ex post approach utilizes the decision maker's preferences among risky acts for generating a utility and a probability function, whereas in the ex ante approach a set of preferences among potential outcomes are on the input side (...)
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  • Stability and cooperative solution in stochastic games.Elena M. Parilina & Alessandro Tampieri - 2018 - Theory and Decision 84 (4):601-625.
    This paper analyses the principles of stable cooperation for stochastic games. Starting from the non-cooperative version of a discounted, non zero-sum stochastic game, we build its cooperative form and find the cooperative solution. We then analyse the conditions under which this solution is stable. Principles of stability include subgame consistency, strategic stability and irrational behaviour proof of the cooperative solution. We finally discuss the existence of a stable cooperative solution, and consider a type of stochastic games for which the cooperative (...)
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  • On the interpretation of decision theory.Samir Okasha - 2016 - Economics and Philosophy 32 (3):409-433.
    :This paper explores the contrast between mentalistic and behaviouristic interpretations of decision theory. The former regards credences and utilities as psychologically real, while the latter regards them as mere representations of an agent's preferences. Philosophers typically adopt the former interpretation, economists the latter. It is argued that the mentalistic interpretation is preferable if our aim is to use decision theory for descriptive purposes, but if our aim is normative then the behaviouristic interpretation cannot be dispensed with.
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  • Weighing and aggregating reasons under uncertainty: a trilemma.Ittay Nissan-Rozen - 2020 - Philosophical Studies 178 (9):2853-2871.
    I discuss the trilemma that consists of the following three principles being inconsistent: 1. The Common Principle: if one distribution, A, necessarily brings a higher total sum of personal value that is distributed in a more egalitarian way than another distribution, B, A is more valuable than B. 2. (Weak) ex-ante Pareto: if one uncertain distribution, A, is more valuable than another uncertain distribution, B, for each patient, A is more valuable than B. 3. Pluralism about attitudes to risk (Pluralism): (...)
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  • Does the “Iowa Gambling Task” Really Verify the Somatic Marker Hypothesis?Yu Nishitsutsumi - 2010 - Kagaku Tetsugaku 43 (1):31-44.
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  • Sequential decision making without independence: a new conceptual approach. [REVIEW]A. Nebout - 2014 - Theory and Decision 77 (1):85-110.
    This paper presents a critical reflection on dynamic consistency as commonly used in economics and decision theory, and on the difficulty to test it experimentally. It distinguishes between the uses of the term dynamic consistency in order to characterize two different properties: the first accounts for the neutrality of individual preferences towards the timing of resolution of uncertainty whereas the second guarantees that a strategy chosen at the beginning of a sequential decision problem is immune to any reevaluation and will (...)
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  • The Bamberg Trucking Game: A Paradigm for Assessing the Detection of Win–Win Solutions in a Potential Conflict Scenario.Dario Nalis, Astrid Schütz & Alexander Pastukhov - 2018 - Frontiers in Psychology 9.
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  • Moral Judgments of In-Group and Out-Group Harm in Post-conflict Urban and Rural Croatian Communities.Michael A. Moncrieff & Pierre Lienard - 2018 - Frontiers in Psychology 9.
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  • Aspects concerning entropy and utility.Gholam Reza Mohtashami Borzadaran - 2012 - Theory and Decision 72 (2):273-285.
    Expected utility maximization problem is one of the most useful tools in mathematical finance, decision analysis and economics. Motivated by statistical model selection, via the principle of expected utility maximization, Friedman and Sandow (J Mach Learn Res 4:257–291, 2003a) considered the model performance question from the point of view of an investor who evaluates models based on the performance of the optimal strategies that the models suggest. They interpreted their performance measures in information theoretic terms and provided new generalizations of (...)
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  • Making Money from Misfortune: Casuistry for Future Capitalism.Christopher Michaelson - 2022 - Philosophy of Management 21 (3):371-390.
    Any fundamental examination of managerial practices must consider a philosophical conundrum at the heart of market exchange. Economically, the opportunity for profit seems to demand somebody else’s loss, and ethically, we must not take advantage of others’ misfortune. In a market system involving a multiplicity of stakeholders, profit opportunities may arise in which relationships between winners and losers are distant, indirect, or even nonexistent; their motives are multivalent; and their market participation may be intentional or accidental. Reflecting two decades later (...)
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  • A Decision-Theoretic Model of Behavior Change.Kaosu Matsumori, Kazuki Iijima, Yasuharu Koike & Kenji Matsumoto - 2019 - Frontiers in Psychology 10.
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  • Quantifying the Motivational Effects of Cognitive Fatigue Through Effort-Based Decision Making.Stijn A. A. Massar, Árpád Csathó & Dimitri Van der Linden - 2018 - Frontiers in Psychology 9.
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  • The inapplicability of evolutionarily stable strategy to the prisoner's dilemma.Louis Marinoff - 1990 - British Journal for the Philosophy of Science 41 (4):461-472.
    Hamilton games-theoretic conflict model, which applies Maynard Smith's concept of evolutionarily stable strategy to the Prisoner's Dilemma, gives rise to an inconsistency between theoretical prescription and empirical results. Proposed resolutions of thisproblem are incongruent with the tenets of the models involved. The independent consistency of each model is restored, and the anomaly thereby circumvented, by a proof that no evolutionarily stable strategy exists in the Prisoner's Dilemma.
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  • Information Use Differences in Hot and Cold Risk Processing: When Does Information About Probability Count in the Columbia Card Task?Łukasz Markiewicz & Elżbieta Kubińska - 2015 - Frontiers in Psychology 6.
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  • Actualist rationality.Charles F. Manski - 2011 - Theory and Decision 71 (2):195-210.
    This article concerns the prescriptive function of decision analysis. Consider an agent who must choose an action yielding welfare that varies with an unknown state of nature. It is often asserted that such an agent should adhere to consistency axioms which imply that behavior can be represented as maximization of expected utility. However, our agent is not concerned the consistency of his behavior across hypothetical choice sets. He only wants to make a reasonable choice from the choice set that he (...)
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  • On the consistency of choice.Ola Mahmoud - 2017 - Theory and Decision 83 (4):547-572.
    Consistency of choice is a fundamental and recurring theme in decision theory, social choice theory, behavioral economics, and psychological sciences. The purpose of this paper is to study the consistency of choice independent of the particular decision model at hand. Consistency is viewed as an inherently logical concept that is fundamentally void of connotation and is thus disentangled from traditional rationality or consistency conditions imposed on decision models. The proposed formalization of consistency takes two forms: internal consistency, which refers to (...)
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  • Knowledge, behaviour, and policy: questioning the epistemic presuppositions of applying behavioural science in public policymaking.Magdalena Małecka - 2021 - Synthese 199 (1-2):5311-5338.
    The aim of this article is to question the epistemic presuppositions of applying behavioural science in public policymaking. Philosophers of science who have examined the recent applications of the behavioural sciences to policy have contributed to discussions on causation, evidence, and randomised controlled trials. These have focused on epistemological and methodological questions about the reliability of scientific evidence and the conditions under which we can predict that a policy informed by behavioural research will achieve the policymakers’ goals. This paper argues (...)
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  • Conservative Stable Standards of Behavior and φ-Stable Sets.Xiao Luo - 2006 - Theory and Decision 60 (4):395-402.
    Within Luo’s (2001, J. Math. Econ. 36, 95–109) framework of a general system, I establish an equivalence theorem for the conservative stable standard of behavior (CSSB for short) developed by J. Greenberg (“The Theory of Social Situation: An Alternative Game-Theoretic Approach,” Cambridge University Press, 1990). It is shown that a standard of behavior for a situation is a CSSB if, and only if, its graph is a φ-stable set for the associated general system.
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  • Moral dilemmas in self-driving cars.Chiara Lucifora, Giorgio Mario Grasso, Pietro Perconti & Alessio Plebe - 2020 - Rivista Internazionale di Filosofia e Psicologia 11 (2):238-250.
    : Autonomous driving systems promise important changes for future of transport, primarily through the reduction of road accidents. However, ethical concerns, in particular, two central issues, will be key to their successful development. First, situations of risk that involve inevitable harm to passengers and/or bystanders, in which some individuals must be sacrificed for the benefit of others. Secondly, and identification responsible parties and liabilities in the event of an accident. Our work addresses the first of these ethical problems. We are (...)
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  • Escaping the Network.Anna Longo - 2020 - Open Philosophy 3 (1):175-186.
    We are today agents of a peculiar reality, the global network or the system for automated information production. Our condition in the global network is that of agents of the real, since we all contribute to the coproduction of this ever-evolving process. Nevertheless, I will argue, this reality is but the effect of the adoption of a notion of instrumental pragmatic rationality which denies the existence of any other possible reality as the actualization of different determinations of Reason. While following (...)
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  • Formalism , Behavioral Realism and the Interdisciplinary Challenge in Sociological Theory.Omar Lizardo - 2009 - Journal for the Theory of Social Behaviour 39 (1):39-80.
    In this paper, I argue that recent sociological theory has become increasingly bifurcated into two mutually incompatible styles of theorizing that I label formalist and behavioral-realist. Formalism favors mathematization and proposes an instrumentalist ontology of abstract processes while behavioral-realist theory takes at its basis the "real" physical individual endowed with concrete biological, cognitive and neurophysiological capacities and constraints and attempts to derive the proper conceptualization of social behavior from that basis. Formalism tends to lead toward a conceptually independent sociology that (...)
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  • Are interpersonal comparisons of utility indeterminate?Christian List - 2003 - Erkenntnis 58 (2):229 - 260.
    On the orthodox view in economics, interpersonal comparisons of utility are not empirically meaningful, and "hence" impossible. To reassess this view, this paper draws on the parallels between the problem of interpersonal comparisons of utility and the problem of translation of linguistic meaning, as explored by Quine. I discuss several cases of what the empirical evidence for interpersonal comparisonsof utility might be and show that, even on the strongest of these, interpersonal comparisons are empirically underdetermined and, if we also deny (...)
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  • Newcomb’s problem isn’t a choice dilemma.Zhanglyu Li & Frank Zenker - 2021 - Synthese 199 (1-2):5125-5143.
    Newcomb’s problem involves a decision-maker faced with a choice and a predictor forecasting this choice. The agents’ interaction seems to generate a choice dilemma once the decision-maker seeks to apply two basic principles of rational choice theory : maximize expected utility ; adopt the dominant strategy. We review unsuccessful attempts at pacifying the dilemma by excluding Newcomb’s problem as an RCT-application, by restricting MEU and ADS, and by allowing for backward causation. A probability approach shows that Newcomb’s original problem-formulation lacks (...)
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  • Optimal inequality behind the veil of ignorance.Che-Yuan Liang - 2017 - Theory and Decision 83 (3):431-455.
    In Rawls’ influential social contract approach to distributive justice, the fair income distribution is the one that an individual would choose behind a veil of ignorance. Harsanyi treated this situation as a decision under risk and arrived at utilitarianism using expected utility theory. This paper investigates the implications of applying cumulative prospect theory instead, which better describes behavior under risk. I find that the specific type of inequality in bottom-heavy right-skewed income distributions, which includes the log-normal income distribution, could be (...)
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  • Technology and Institutions: A Critical Appraisal of GIS in the Planning Domain.Raul P. Lejano - 2008 - Science, Technology, and Human Values 33 (5):653-678.
    GIS has captured planning practice to an unprecedented degree, and this article on how it reconfigures and is configured by institutional context. The author inquires into GIS as a technology for incorporating knowledge into institutional use and includes five propositions: GIS's efficiencies in data processing allows it unprecedented facility and scope of analysis, its use increases alienation, its mimetic language furthers its role in planning, its logic appears rational—purposive, but it conceals an underlying normative logic, and its most profound effect (...)
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  • How choice ecology influences search in decisions from experience.Tomás Lejarraga, Ralph Hertwig & Cleotilde Gonzalez - 2012 - Cognition 124 (3):334-342.
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  • Reclaiming Davidson’s Methodological Rationalism as Galilean Idealization in Psychology.Carole J. Lee - 2010 - Philosophy of the Social Sciences 40 (1):84-106.
    In his early experimental work with Suppes, Davidson adopted rationality assumptions, not as necessary constraints on interpretation, but as practical conceits in addressing methodological problems faced by experimenters studying decision making under uncertainty. Although the content of their theory has since been undermined, their methodological approach—a Galilean form of methodological rationalism—lives on in contemporary psychological research. This article draws on Max Weber’s verstehen to articulate an account of Galilean methodological rationalism; explains how anomalies faced by Davidson’s early experimental work gave (...)
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  • In dubious battle: uncertainty and the ethics of killing.Seth Lazar - 2018 - Philosophical Studies 175 (4):859-883.
    How should deontologists concerned with the ethics of killing apply their moral theory when we don’t know all the facts relevant to the permissibility of our action? Though the stakes couldn’t be higher, and uncertainty is endemic where killing is concerned, few deontologists have an answer to this question. In this paper I canvass two possibilities: that we should apply a threshold standard, equivalent to the ‘beyond a reasonable doubt’ standard applied for criminal punishment; and that we should fit our (...)
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  • Mindreading and endogenous beliefs in games.Lauren Larrouy & Guilhem Lecouteux - 2017 - Journal of Economic Methodology 24 (3):318-343.
    We argue that a Bayesian explanation of strategic choices in games requires introducing a psychological theory of belief formation. We highlight that beliefs in epistemic game theory are derived from the actual choice of the players, and cannot therefore explain why Bayesian rational players should play the strategy they actually chose. We introduce the players’ capacity of mindreading in a game theoretical framework with the simulation theory, and characterise the beliefs that Bayes rational players could endogenously form in games. We (...)
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  • The Thing to Do.Jan-Erik Lane - 2022 - Philosophy Study 12 (1).
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  • The impact of moral motives on economic decision-making.Katharina G. Kugler, Julia Reif, Gesa-Kristina Petersen & Felix C. Brodbeck - 2021 - Journal of Dynamic Decision Making 7.
    We examined the question of how “salient others” influence economic decisions. We proposed that moral motives actively shape economic decisions in social situations. In an experiment, we varied the decision situation and the moral motive. As hypothesized, moral motives influenced decision behavior only in social situations but not in non-social situations. In addition, we showed that in anonymous social one-shot situations, individuals are susceptible to situational moral motive framing. In contrast, situational cues were ineffective if a moral motive was already (...)
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  • Expectations and Decisions in the Volunteer’s Dilemma: Effects of Social Distance and Social Projection.Joachim I. Krueger, Johannes Ullrich & Leonard J. Chen - 2016 - Frontiers in Psychology 7.
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  • Commentary: The Attraction Effect in Decision Making: Superior Performance by Older Adults.Maciej Koscielniak, Klara Rydzewska & Grzegorz Sedek - 2018 - Frontiers in Psychology 9.
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  • Von Neumann–Morgenstern stable set rationalization of choice functions.Vicki Knoblauch - 2020 - Theory and Decision 89 (3):369-381.
    Two scenarios illustrate uses of von Neumann–Morgenstern stable sets in the construction of choice functions. A comparison is made to the construction of choice functions by the selection of maximal elements. A characterization is given of choice functions that are von Neumann–Morgenstern stable set rationalizable by acyclic, asymmetric binary relations. Two examples illustrate the use of the characterization.
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  • In Defense of the Trichotomy Thesis.Justin Klocksiem - 2010 - Acta Analytica 25 (3):317-327.
    According to a standard picture, for any two comparable objects and a basis for comparison, either one is greater than the other or they are equal with respect to the basis. This picture has been called the Trichotomy Thesis, and although it is intuitive and plausible, it has been called into question by such philosophers as Derek Parfit, James Griffin, Joseph Raz, and Ruth Chang. Chang’s discussion is particularly rich, for she proposes and provides a detailed account of a possible (...)
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  • Rational preference in transformative experiences.Saira Khan - 2021 - Synthese 199 (3-4):6715-6732.
    L. A. Paul’s Transformative Experience makes the claim that many important life decisions are epistemically and personally transformative in a way that does not allow us to assign subjective values to their outcomes. As a result, we cannot use normative decision theory to make such decisions rationally, or when we modify it to do so, decision theory leads us to choose in a way that is in tension with our authenticity. This paper examines Paul’s version of decision theory, and whether (...)
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  • A Dilemma for Respecting Autonomy: Bridge Technologies and the Hazards of Sequential Decision-Making.Aidan Kestigian & Alex John London - 2022 - Journal of Medicine and Philosophy 47 (2):293-310.
    Respect for patient autonomy can apply at two levels: ensuring that patient care reflects their considered values and wishes and honoring patient preferences about how to make momentous decisions. Caregivers who seek to respect patient autonomy in the context of some end-of-life decisions face a dilemma. Because these decisions are fraught, patients may prefer to approach them sequentially, only making decisions at the time they arise. However, respecting patients’ preferences for a sequential approach can increase the likelihood that surrogates and (...)
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  • A recursive core for partition function form games.László Á Kóczy - 2007 - Theory and Decision 63 (1):41-51.
    We present a well-defined generalisation of the core to coalitional games with externalities, where the value of a deviation is given by an endogenous response, the solution (if nonempty: the core) of the residual game.
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  • Incomplete risk attitudes and random choice behavior: an elicitation mechanism.Edi Karni - 2021 - Theory and Decision 92 (3-4):677-687.
    In the presence of incomplete risk attitudes, choices between noncomparable risky prospects are random. A random choice model advanced by Karni, 2021) includes the hypothesis that choices among noncomparable risky prospects are prompted by signals drawn from personal distributions. This paper introduces a scheme designed to elicit subjects’ assessments of their personal likelihoods of choices among noncomparable risky prospects and describes experiments designed to test the aforementioned hypothesis.
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  • An expected utility theory for state-dependent preferences.Edi Karni & David Schmeidler - 2016 - Theory and Decision 81 (4):467-478.
    This note is a generalization and improved interpretation of the main result of Karni and Schmeidler. A decision-maker is supposed to possess a preference relation on acts and another preference relation on state-prize lotteries, both of which are assumed to satisfy the von Neumann–Morgenstern axioms. In addition, the two preference relations restricted to a state of nature are assumed to agree. We show that these axioms are necessary and sufficient for the existence of subjective expected utility over acts with state-dependent (...)
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  • Survival cannibalism or sociopolitical intimidation?John Kantner - 1999 - Human Nature 10 (1):1-50.
    Over the past two decades, archaeologists and physical anthropologists investigating the prehistoric Anasazi culture have identified numerous cases of suspected cannibalism. Many scholars have suggested that starvation caused by environmental degradation induced people to eat one another, but the growing number of cases as well as their temporal and spatial distribution challenge this conclusion. At the same time, some scholars have questioned the validity of the osteoarchaeological indicators that are used to identify cannibalism in collections of mutilated human remains. To (...)
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  • Game logic and its applications I.Mamoru Kaneko & Takashi Nagashima - 1996 - Studia Logica 57 (2-3):325 - 354.
    This paper provides a logic framework for investigations of game theoretical problems. We adopt an infinitary extension of classical predicate logic as the base logic of the framework. The reason for an infinitary extension is to express the common knowledge concept explicitly. Depending upon the choice of axioms on the knowledge operators, there is a hierarchy of logics. The limit case is an infinitary predicate extension of modal propositional logic KD4, and is of special interest in applications. In Part I, (...)
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