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Standard decision theory seeks conditions under which a preference relation can be compressed into a single real-valued function. However, when preferences are incomplete or intransitive, a single function fails to capture the agent's…

Theoretical Economics · Economics 2026-02-05 Safal Raman Aryal

The influence of additional information on the decision making of agents, who are interacting members of a society, is analyzed within the mathematical framework based on the use of quantum probabilities. The introduction of social…

Physics and Society · Physics 2015-10-14 V. I. Yukalov , D. Sornette

Inferring a decision maker's utility function typically involves an elicitation phase where the decision maker responds to a series of elicitation queries, followed by an estimation phase where the state-of-the-art is to either fit the…

Applications · Statistics 2018-07-31 Mengyang Gu , Debarun Bhattacharjya , Dharmashankar Subramanian

It is well known that ex ante social preferences and expected utility are not always compatible. In this note, we introduce a novel framework that naturally separates social preferences from selfish preferences to answer the following…

Theoretical Economics · Economics 2023-12-12 Mehmet S. Ismail , Ronald Peeters

Most studies of prosumer decision making in the smart grid have focused on single, temporally discrete decisions within the framework of expected utility theory (EUT) and behavioral theories such as prospect theory. In this work, we study…

Systems and Control · Electrical Eng. & Systems 2021-03-09 Mohsen Rajabpour , Arnold Glass , Robert Mulligan , Narayan B. Mandayam

Learning the preferences of a human improves the quality of the interaction with the human. The number of queries available to learn preferences maybe limited especially when interacting with a human, and so active learning is a must. One…

Machine Learning · Computer Science 2020-02-18 Sriram Gopalakrishnan , Utkarsh Soni

We are witnessing an increasing use of data-driven predictive models to inform decisions. As decisions have implications for individuals and society, there is increasing pressure on decision makers to be transparent about their decision…

The random utility model (RUM, McFadden and Richter, 1990) has been the standard tool to describe the behavior of a population of decision makers. RUM assumes that decision makers behave as if they maximize a rational preference over a…

General Economics · Economics 2022-07-05 Victor H. Aguiar , Maria Jose Boccardi , Nail Kashaev , Jeongbin Kim

User preferences for automated assistance often vary widely, depending on the situation, and quality or presentation of help. Developing effectivemodels to learn individual preferences online requires domain models that associate…

Artificial Intelligence · Computer Science 2012-06-18 Bowen Hui , Craig Boutilier

In this paper an interesting application of mathematics in economics is presented: the formulation of the theory of consumer basic problem, grounded on the concept of preferences relation and operationalized with optimization tools.

Optimization and Control · Mathematics 2021-11-10 Manuel Alberto M. Ferreira , José António Filipe

We explore the possibility of designing matching mechanisms that can accommodate non-standard choice behavior. We pin down the necessary and sufficient conditions on participants' choice behavior for the existence of stable and incentive…

Theoretical Economics · Economics 2024-08-12 Gian Caspari , Manshu Khanna

We study the learning problem of revealed preference in a stochastic setting: a learner observes the utility-maximizing actions of a set of agents whose utility follows some unknown distribution, and the learner aims to infer the…

Optimization and Control · Mathematics 2022-06-06 John R. Birge , Xiaocheng Li , Chunlin Sun

In this paper, we formulate a qualitative "linear" utility theory for lotteries in which uncertainty is expressed qualitatively using a Spohnian disbelief function. We argue that a rational decision maker facing an uncertain decision…

Artificial Intelligence · Computer Science 2013-01-18 Phan H. Giang , Prakash P. Shenoy

People often deviate from expected utility theory when making risky and intertemporal choices. While the effects of probabilistic risk and time delay have been extensively studied in isolation, their interplay and underlying theoretical…

Theoretical Economics · Economics 2025-04-10 Ho Ka Chan , Taro Toyoizumi

This paper describes an approach to economics that is inspired by quantum computing, and is motivated by the need to develop a consistent quantum mathematical framework for economics. The traditional neoclassical approach assumes that…

General Finance · Quantitative Finance 2021-03-22 David Orrell , Monireh Houshmand

Any data annotation for subjective tasks shows potential variations between individuals. This is particularly true for annotations of emotional responses to musical stimuli. While older approaches to music emotion recognition systems…

Sound · Computer Science 2025-01-22 Karn N. Watcharasupat , Yiwei Ding , T. Aleksandra Ma , Pavan Seshadri , Alexander Lerch

This paper shows how we can combine logical representations of actions and decision theory in such a manner that seems natural for both. In particular we assume an axiomatization of the domain in terms of situation calculus, using what is…

Artificial Intelligence · Computer Science 2013-02-18 David L. Poole

Difficulties over probability have often been considered fatal to the Everett interpretation of quantum mechanics. Here I argue that the Everettian can have everything she needs from `probability' without recourse to indeterminism,…

Quantum Physics · Physics 2007-05-23 Hilary Greaves

The present paper introduces a theoretical framework through which the degree of risk aversion with respect to uncertain prices can be measured through the context of the indirect utility function (IUF) using a lab experiment. First, the…

General Economics · Economics 2022-09-07 Ali Zeytoon-Nejad

It is typically understood that the training of modern neural networks is a process of fitting the probability distribution of desired output. However, recent paradoxical observations in a number of language generation tasks let one wonder…

Machine Learning · Computer Science 2023-05-31 Huang Bojun , Fei Yuan