RATIONAL DYNAMIC CHOICE AND EXPECTED UTILITY THEORY
- 1 January 1996
- journal article
- Published by Oxford University Press (OUP) in Oxford Economic Papers
- Vol. 48 (1) , 1-19
- https://doi.org/10.1093/oxfordjournals.oep.a028555
Abstract
The paper considers the normative status of the independence and ordering principles of expected utility theory. Preferences are defined in terms of choice and the two principles derived from restrictions on choice in sequential decision problems. The results extend and clarify important contributions by Hammond and McClennen. They show that it is different requirements on dynamic choice which rationalise independence and ordering respectively and illuminate their relationship to consequentialism.Keywords
This publication has 0 references indexed in Scilit: