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This Element offers an accessible but technically detailed review of expected utility theory (EU), which is a model of individual decision-making under uncertainty that is central for both economics and philosophy. The Element's approach falls between the history of ideas and economic methodology. At the historical level, it reviews EU by following its conceptual evolution from its original formulation in the eighteenth century through its transformations and extensions in the mid-twentieth century to its more recent supersession by post-EU theories such as prospect theory. In reconstructing the history of EU, it focuses on the methodological issues that have accompanied its evolution, such as whether the utility function and the other components of EU correspond to actual mental entities. On many of these issues, no consensus has yet been reached, and in this Element the author offers his view on them.
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Decision making. --- Game theory. --- Uncertainty. --- Utility theory.
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Methodology of economics --- Probability theory --- Utility theory. --- Utilité (Economie politique) --- Utility theory --- Utilité (Economie politique)
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Actuarial mathematics --- Utility theory --- Risk --- Congresses --- congresses --- Congresses. --- Utility theory - Congresses --- Risk - congresses
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Production functions (Economic theory). --- Prices --- Utility theory. --- Mathematical models.
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Demand (Economic theory) --- Utility theory. --- Consumption (Economics) --- Mathematical models.
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Concave functions --- Economics, Mathematical --- Utility theory --- Demand (Economic theory) --- Value --- Revealed preference theory --- Economics --- Mathematical economics --- Econometrics --- Mathematics --- Functions, Concave --- Functions of real variables --- Methodology --- Concave functions. --- Economics, Mathematical. --- Utility theory. --- Fonctions de demande (theorie economique)
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Microeconomics --- Risk --- Utility theory --- Congresses. --- Risicobeheer. --- Utilité (Théorie de l'). Modèles mathématiques. --- Risques (Théorie des). --- Nuttigheidstheorie. Wiskundige modellen.
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Choice (Psychology) --- Decision-making. --- Political participation. --- Political science --- Politics, Practical. --- Utility theory. --- Decision making. --- Choice (Psychology). --- Utilite (economie politique)
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Sociology of policy --- Probability theory --- Decision Making --- Probabilities --- Utility theory --- Mathematical models --- Congresses --- 519.21 --- -Utility theory --- -Decision making --- -#KVIV --- Deciding --- Decision (Psychology) --- Decision analysis --- Decision processes --- Making decisions --- Management --- Management decisions --- Choice (Psychology) --- Problem solving --- Demand (Economic theory) --- Value --- Revealed preference theory --- Probability --- Statistical inference --- Combinations --- Mathematics --- Chance --- Least squares --- Mathematical statistics --- Risk --- Probability theory. Stochastic processes --- -Congresses --- Decision making --- Congresses. --- 519.21 Probability theory. Stochastic processes --- #KVIV --- Mathematical models&delete& --- Decision Making - Mathematical models - Congresses --- Probabilities - Congresses --- Utility theory - Congresses
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