Theory and Decision 66 (4):301-315 (2009)

Authors
Abstract
Ellsberg (The Quarterly Journal of Economics 75, 643–669 (1961); Risk, Ambiguity and Decision, Garland Publishing (2001)) argued that uncertainty is not reducible to risk. At the center of Ellsberg’s argument lies a thought experiment that has come to be known as the three-color example. It has been observed that a significant number of sophisticated decision makers violate the requirements of subjective expected utility theory when they are confronted with Ellsberg’s three-color example. More generally, such decision makers are in conflict with either the ordering assumption or the independence assumption of subjective expected utility theory. While a clear majority of the theoretical responses to these violations have advocated maintaining ordering while relaxing independence, a persistent minority has advocated abandoning the ordering assumption. The purpose of this paper is to consider a similar dilemma that exists within the context of multiattribute models, where it arises by considering indeterminacy in the weighting of attributes rather than indeterminacy in the determination of probabilities as in Ellsberg’s example.
Keywords multiattribute  revealed preference  descriptive  uncertainty  methodology
Categories (categorize this paper)
DOI 10.1007/s11238-008-9099-x
Options
Edit this record
Mark as duplicate
Export citation
Find it on Scholar
Request removal from index
Revision history

Download options

PhilArchive copy


Upload a copy of this paper     Check publisher's policy     Papers currently archived: 61,089
External links

Setup an account with your affiliations in order to access resources via your University's proxy server
Configure custom proxy (use this if your affiliation does not provide a proxy)
Through your library

References found in this work BETA

On Indeterminate Probabilities.Isaac Levi - 1974 - Journal of Philosophy 71 (13):391-418.
On Indeterminate Probabilities.Isaac Levi - 1978 - In A. Hooker, J. J. Leach & E. F. McClennen (eds.), Journal of Philosophy. D. Reidel. pp. 233--261.

View all 8 references / Add more references

Citations of this work BETA

Add more citations

Similar books and articles

Analytics

Added to PP index
2009-03-22

Total views
187 ( #54,240 of 2,440,183 )

Recent downloads (6 months)
1 ( #432,124 of 2,440,183 )

How can I increase my downloads?

Downloads

My notes