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In the present article we use the quantum formalism to describe the effects of risk and ambiguity in decision theory. The main idea is that the probabilities in the classic theory of expected utility are estimated probabilities, and thus do…

General Physics · Physics 2011-09-21 Riccardo Franco

A rigorous general definition of quantum probability is given, which is valid for elementary events and for composite events, for operationally testable measurements as well as for inconclusive measurements, and also for non-commuting…

Quantum Physics · Physics 2016-01-12 V. I. Yukalov , D. Sornette

It is argued from several points of view that quantum probabilities might play a role in statistical settings. New approaches toward quantum foundations have postulates that appear to be equally valid in macroscopic settings. One such…

Quantum Physics · Physics 2025-06-26 Inge S. Helland

We live in a world brimming with uncertainty, where we constantly have to make a lot of decisions under incomplete information. We are firm believers that our subjective belief cannot be computed by rigorous mathematical formula; instead…

Physics and Society · Physics 2023-02-08 Lizhi Xin , Kevin Xin , Houwen Xin

We develop a theory of quantum rational decision making in the tradition of Anscombe and Aumann's axiomatisation of preferences on horse lotteries. It is essentially the Bayesian decision theory generalised to the space of Hermitian…

Quantum Physics · Physics 2016-12-08 Alessio Benavoli , Alessandro Facchini , Marco Zaffalon

In a recent paper (quant-ph/9906015), Deutsch claims to derive the "probabilistic predictions of quantum theory" from the "non-probabilistic axioms of quantum theory" and the "non-probabilistic part of classical decision theory." We show…

Quantum Physics · Physics 2009-10-31 H. Barnum , C. M. Caves , J. Finkelstein , C. A. Fuchs , R. Schack

We present the first calibration of quantum decision theory (QDT) to a dataset of binary risky choice. We quantitatively account for the fraction of choice reversals between two repetitions of the experiment, using a probabilistic choice…

Artificial Intelligence · Computer Science 2023-03-06 T. Kovalenko , S. Vincent , V. I. Yukalov , D. Sornette

Theory of quantum measurements is often classified as decision theory. An event in decision theory corresponds to the measurement of an observable. This analogy looks clear for operationally testable simple events. However, the situation is…

Quantum Physics · Physics 2015-06-24 V. I. Yukalov , D. Sornette

Quantum guessing games form a versatile framework for studying different tasks of information processing. A quantum guessing game with posterior information uses quantum systems to encode messages and classical communication to give partial…

Quantum Physics · Physics 2022-06-22 Claudio Carmeli , Teiko Heinosaari , Alessandro Toigo

We reason about possible future development of quantum game theory and its impact on information processing and the emerging information society. Two of the authors have recently proposed a quantum description of financial market in terms…

Quantum Physics · Physics 2007-05-23 Ireneusz Pakula , Edward W. Piotrowski , Jan Sladkowski

This essay gives a self-contained introduction to quantum game theory, and is primarily oriented to economists with little or no acquaintance with quantum mechanics. It assumes little more than a basic knowledge of vector algebra. Quantum…

Quantum Physics · Physics 2007-05-23 J. Orlin Grabbe

The game in which acts of participants don't have an adequate description in terms of Boolean logic and classical theory of probabilities is considered. The model of the game interaction is constructed on the basis of a non-distributive…

Quantum Physics · Physics 2007-05-23 Andrey Grib , Georges Parfionov

In the Bayesian approach to probability theory, probability quantifies a degree of belief for a single trial, without any a priori connection to limiting frequencies. In this paper we show that, despite being prescribed by a fundamental…

Quantum Physics · Physics 2009-11-07 Carlton M. Caves , Christopher A. Fuchs , Ruediger Schack

Quantum strategies have been successfully applied to game theory for years. However, as a reverse problem of game theory, the theory of mechanism design is ignored by physicists. In this paper, the theory of mechanism design is generalized…

Physics and Society · Physics 2015-03-13 Haoyang Wu

A general approach describing quantum decision procedures is developed. The approach can be applied to quantum information processing, quantum computing, creation of artificial quantum intelligence, as well as to analyzing decision…

Quantum Physics · Physics 2015-05-14 V. I. Yukalov , D. Sornette

Quantum game theory, whatever opinions may be held due to its abstract physical formalism, have already found various applications even outside the orthodox physics domain. In this paper we introduce the concept of a quantum auction, its…

General Finance · Quantitative Finance 2009-11-13 E. W. Piotrowski , J. Sladkowski

We describe human-subject laboratory experiments on probabilistic auctions based on previously proposed auction protocols involving the simulated manipulation and communication of quantum states. These auctions are probabilistic in…

Quantum Physics · Physics 2009-03-31 Kay-Yut Chen , Tad Hogg

An extended analysis is given of the program, originally suggested by Deutsch, of solving the probability problem in the Everett interpretation by means of decision theory. Deutsch's own proof is discussed, and alternatives are presented…

Quantum Physics · Physics 2007-05-23 David Wallace

Lottery is a game in which multiple players take chances in the hope of getting some rewards in cash or kind. In addition, from the time of the early civilizations, lottery has also been considered as an apposite method to allocate scarce…

Quantum Physics · Physics 2022-03-24 Sandeep Mishra , Anirban Pathak

A theory is universal contextual if its prediction cannot be reproduced by an ontological model satisfying both preparation and measurement noncontextuality assumptions. In this report, we first generalize the logical proofs of quantum…

Quantum Physics · Physics 2019-12-24 A. K. Pan