Abstract : Acts are functions from the set of states of the world into the set of consequences. Savage proposed axioms regarding a binary relation on the set of acts which are necessary and sufficient for it to be representable by the functional ʃu(*)dP for some real-valued (utility) function u on the set of consequences and a (probability) measure P on the set of states of the world. The Ellsberg paradox leads us to reject one of Savage's main axioms - the Sure Thing Principle - and develop a more general theory, in which the probability measure need not be additive.
https://hal-hec.archives-ouvertes.fr/hal-00756291
Contributor : Antoine Haldemann <>
Submitted on : Thursday, November 22, 2012 - 4:56:29 PM Last modification on : Thursday, November 22, 2012 - 4:59:22 PM