In his classic book “the Foundations of Statistics” Savage developed a formal system of rational decision making. The system is based on (i) a set of possible states of the world, (ii) a set of consequences, (iii) a set of acts, which are functions from states to consequences, and (iv) a preference relation over the acts, which represents the preferences of an idealized rational agent. The goal and the culmination of the enterprise is a representation theorem: Any preference relation that (...) satisfies certain arguably acceptable postulates determines a (finitely additive) probability distribution over the states and a utility assignment to the consequences, such that the preferences among acts are determined by their expected utilities. Additional problematic assumptions are however required in Savage's proofs. First, there is a Boolean algebra of events (sets of states) which determines the richness of the set of acts. The probabilities are assigned to members of this algebra. Savage's proof requires that this be a σ-algebra (i.e., closed under infinite countable unions and intersections), which makes for an extremely rich preference relation. On Savage's view we should not require subjective probabilities to be σ-additive. He therefore finds the insistence on a σ-algebra peculiar and is unhappy with it. But he sees no way of avoiding it. Second, the assignment of utilities requires the constant act assumption: for every consequence there is a constant act, which produces that consequence in every state. This assumption is known to be highly counterintuitive. The present work contains two mathematical results. The first, and the more difficult one, shows that the σ-algebra assumption can be dropped. The second states that, as long as utilities are assigned to finite gambles only, the constant act assumption can be replaced by the more plausible and much weaker assumption that there are at least two non-equivalent constant acts. The second result also employs a novel way of deriving utilities in Savage-style systems -- without appealing to von Neumann-Morgenstern lotteries. The paper discusses the notion of “idealized agent" that underlies Savage's approach, and argues that the simplified system, which is adequate for all the actual purposes for which the system is designed, involves a more realistic notion of an idealized agent. (shrink)

Savage's framework of subjective preference among acts provides a paradigmatic derivation of rational subjective probabilities within a more general theory of rational decisions. The system is based on a set of possible states of the world, and on acts, which are functions that assign to each state a consequence€. The representation theorem states that the given preference between acts is determined by their expected utilities, based on uniquely determined probabilities (assigned to sets of states), and numeric utilities assigned to consequences. (...) Savage's derivation, however, is based on a highly problematic well-known assumption not included among his postulates: for any consequence of an act in some state, there is a "constant act" which has that consequence in all states. This ability to transfer consequences from state to state is, in many cases, miraculous -- including simple scenarios suggested by Savage as natural cases for applying his theory. We propose a simplification of the system, which yields the representation theorem without the constant act assumption. We need only postulates P1-P6. This is done at the cost of reducing the set of acts included in the setup. The reduction excludes certain theoretical infinitary scenarios, but includes the scenarios that should be handled by a system that models human decisions. (shrink)

Section 1 reviews Strawson’s logic of presuppositions. Strawson’s justification is critiqued and a new justification proposed. Section 2 extends the logic of presuppositions to cases when the subject class is necessarily empty, such as (x)((Px & ~Px) → Qx) . The strong similarity of the resulting logic with Richard Diaz’s truth-relevant logic is pointed out. Section 3 further extends the logic of presuppositions to sentences with many variables, and a certain valuation is proposed. It is noted that, given this valuation, (...) Gödel’s sentence becomes neither true nor false. The similarity of this outcome with Goldstein and Gaifman’s solution of the Liar paradox, which is discussed in section 4, is emphasized. Section 5 returns to the definition of meaningfulness; the meaninglessness of certain sentences with empty subjects and of the Liar sentence is discussed. The objective of this paper is to show how all of the above-mentioned concepts are interrelated. (shrink)

A norm of local expert deference says that your credence in an arbitrary proposition A, given that the expert's probability for A is n, should be n. A norm of global expert deference says that your credence in A, given that the expert's entire probability function is E, should be E(A). Gaifman (1988) taught us that these two norms are not equivalent. Stalnaker (2019) conjectures that Gaifman's example is "a loophole". Here, I substantiate Stalnaker's suspicions by providing characterisation (...) theorems which tell us precisely when the norms give different advice. They tell us that, in a good sense, Gaifman's example is the only case where the two norms differ. I suggest that the lesson of the theorems is that Bayesian epistemologists need not concern themselves with the differences between these two kinds of norms. While they are not strictly speaking equivalent, they are equivalent for all philosophical purposes. (shrink)

Automated reasoning about uncertain knowledge has many applications. One difficulty when developing such systems is the lack of a completely satisfactory integration of logic and probability. We address this problem directly. Expressive languages like higher-order logic are ideally suited for representing and reasoning about structured knowledge. Uncertain knowledge can be modeled by using graded probabilities rather than binary truth-values. The main technical problem studied in this paper is the following: Given a set of sentences, each having some probability of being (...) true, what probability should be ascribed to other (query) sentences? A natural wish-list, among others, is that the probability distribution (i) is consistent with the knowledge base, (ii) allows for a consistent inference procedure and in particular (iii) reduces to deductive logic in the limit of probabilities being 0 and 1, (iv) allows (Bayesian) inductive reasoning and (v) learning in the limit and in particular (vi) allows confirmation of universally quantified hypotheses/sentences. We translate this wish-list into technical requirements for a prior probability and show that probabilities satisfying all our criteria exist. We also give explicit constructions and several general characterizations of probabilities that satisfy some or all of the criteria and various (counter) examples. We also derive necessary and sufficient conditions for extending beliefs about finitely many sentences to suitable probabilities over all sentences, and in particular least dogmatic or least biased ones. We conclude with a brief outlook on how the developed theory might be used and approximated in autonomous reasoning agents. Our theory is a step towards a globally consistent and empirically satisfactory unification of probability and logic. (shrink)