Is "Generic Utility Theory" a Suitable Theory of Choice Behavior for Gambles with Mixed Gains and Losses?

Richard A Chechile and Susan F Butler

Journal of Risk and Uncertainty, 2000, vol. 20, issue 2, 189-211

Abstract: Miyamoto's (1988, 1992) generic utility theory (GUT) subsumes a broad class of bilinear utility models. Chechile and Cooke (1997) tested the GUT class of models and found model failure due to the systematic variation of a parameter that should be a positive constant across a range of contexts. In the current study, an improved experimental design is employed to evaluate utility theory. The current study provides further evidence against the GUT class of models for mixed gambles. Moreover, evidence is also provided to demonstrate individual behavior that is incompatible with a coherent bilinear utility theory of choice behavior in the context of mixed gambles with gains and losses. Copyright 2000 by Kluwer Academic Publishers

Date: 2000
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://journals.kluweronline.com/issn/0895-5646/contents link to full text (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:jrisku:v:20:y:2000:i:2:p:189-211

Ordering information: This journal article can be ordered from
http://www.springer. ... ry/journal/11166/PS2

Access Statistics for this article

Journal of Risk and Uncertainty is currently edited by W. Kip Viscusi

More articles in Journal of Risk and Uncertainty from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().