English
Related papers

Related papers: Exceeding Expectations: Stochastic Dominance as a …

200 papers

Unaided human decision making appears to systematically violate consistency constraints imposed by normative theories; these biases in turn appear to justify the application of formal decision-analytic models. It is argued that both claims…

Artificial Intelligence · Computer Science 2013-04-08 Marvin S. Cohen

Stochastic dominance is a fundamental concept in decision-making under uncertainty and quantitative finance, yet its practical application is hindered by computational intractability due to infinitely many constraints. We introduce the…

Optimization and Control · Mathematics 2025-02-27 Rajmadan Lakshmanan , Alois Pichler

We investigate a randomization procedure undertaken in real option games which can serve as a basic model of regulation in a duopoly model of preemptive investment. We recall the rigorous framework of [M. Grasselli, V. Lecl\`ere and M.…

Portfolio Management · Quantitative Finance 2014-02-04 Adrien Nguyen Huu

Expectation is a central notion in probability theory. The notion of expectation also makes sense for other notions of uncertainty. We introduce a propositional logic for reasoning about expectation, where the semantics depends on the…

Artificial Intelligence · Computer Science 2007-05-23 Joseph Y. Halpern , Riccardo Pucella

Motivated by several classic decision-theoretic paradoxes, and by analogies with the paradoxes which in physics motivated the development of quantum mechanics, we introduce a projective generalization of expected utility along the lines of…

Quantum Physics · Physics 2024-01-18 Pierfrancesco La Mura

Many applications of intelligent systems require reasoning about the mental states of agents in the domain. We may want to reason about an agent's beliefs, including beliefs about other agents; we may also want to reason about an agent's…

Artificial Intelligence · Computer Science 2013-01-18 Brian Milch , Daphne Koller

Fighting Fantasy is a popular recreational fantasy gaming system worldwide. Combat in this system progresses through a stochastic game involving a series of rounds, each of which may be won or lost. Each round, a limited resource (`luck')…

Artificial Intelligence · Computer Science 2020-02-25 Iain G. Johnston

The ideas of aleatoric and epistemic uncertainty are widely used to reason about the probabilistic predictions of machine-learning models. We identify incoherence in existing discussions of these ideas and suggest this stems from the…

Machine Learning · Computer Science 2025-08-19 Freddie Bickford Smith , Jannik Kossen , Eleanor Trollope , Mark van der Wilk , Adam Foster , Tom Rainforth

Whether a population of decision-making individuals will reach a state of satisfactory decisions is a fundamental problem in studying collective behaviors. In the framework of evolutionary game theory and by means of potential functions,…

Multiagent Systems · Computer Science 2022-01-13 Negar Sakhaei , Zeinab Maleki , Pouria Ramazi

Stochastic dominance is a preference relation of uncertain prospect defined over a class of utility functions. While this utility class represents basic properties of risk aversion, it includes some extreme utility functions rarely…

Optimization and Control · Mathematics 2015-12-29 Jian Hu , Gevorg Stepanyan

There seems to be an upper limit to predicting the outcome of matches in (semi-)professional sports. Recent work has proposed that this is due to chance and attempts have been made to simulate the distribution of win percentages to identify…

Applications · Statistics 2015-08-21 Albrecht Zimmermann

We investigate the increasingly important and common game-solving setting where we do not have an explicit description of the game but only oracle access to it through gameplay, such as in financial or military simulations and computer…

Artificial Intelligence · Computer Science 2020-02-26 Carlos Martin , Tuomas Sandholm

Humans currently use arguments for explaining choices which are already made, or for evaluating potential choices. Each potential choice has usually pros and cons of various strengths. In spite of the usefulness of arguments in a decision…

Artificial Intelligence · Computer Science 2012-07-19 Leila Amgoud , Henri Prade

Ergodicity describes an equivalence between the expectation value and the time average of observables. Applied to human behaviour, ergodic theories of decision-making reveal how individuals should tolerate risk in different environments. To…

The timing of strategic exit is one of the most important but difficult business decisions, especially under competition and uncertainty. Motivated by this problem, we examine a stochastic game of exit in which players are uncertain about…

Optimization and Control · Mathematics 2023-10-09 H. Dharma Kwon , Jan Palczewski

We define notions of cautiousness and cautious belief to provide epistemic conditions for iterated admissibility in finite games. We show that iterated admissibility characterizes the behavioral implications of "cautious rationality and…

Theoretical Economics · Economics 2023-05-25 Emiliano Catonini , Nicodemo De Vito

Snapshots of "best" (or "worst") experience are known to dominate human memory and may thus also have a significant effect on future behaviour. We consider here a model of repeated decision-making where, at every time step, an agent takes…

Statistical Mechanics · Physics 2022-02-18 Evangelos Mitsokapas , Rosemary J. Harris

Partially observable stochastic games provide a rich mathematical paradigm for modeling multi-agent dynamic decision making under uncertainty and partial information. However, they generally do not admit closed-form solutions and are…

Optimization and Control · Mathematics 2020-04-15 Yanling Chang , Chelsea C. White

In this paper, we investigate the probabilistic variants of the strategy logics ATL and ATL* under imperfect information. Specifically, we present novel decidability and complexity results when the model transitions are stochastic and…

Multiagent Systems · Computer Science 2023-10-27 Francesco Belardinelli , Wojciech Jamroga , Munyque Mittelmann , Aniello Murano

We investigate how the choice of decision makers can be varied under the presence of risk and uncertainty. Our analysis is based on the approach we have previously applied to individual decision makers, which we now generalize to the case…

Physics and Society · Physics 2014-09-03 V. I. Yukalov , D. Sornette