A Revealed Preference Theory for Expected Utility

Edward Green and Kent Osband

The Review of Economic Studies, 1991, vol. 58, issue 4, 677-695

Abstract: Standard axiomatizations of expected-utility theory envision an agent with fixed probability assessments who can be observed to choose actions from varying opportunity sets (for instance, pairs of lotteries). These axiomatizations also envision that the agent's preferences among these actions depend on the state of nature only through clearly defined and observable consequences. This viewpoint may be unnecessarily restrictive as a basis for applying and evaluating the theory. We study instead the pattern of choices from a fixed set of actions as probability assessments change. Convexity and integrability conditions characterize maximization of expected state-dependent utility.

Date: 1991
References: Add references at CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
http://hdl.handle.net/10.2307/2297827 (application/pdf)
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:oup:restud:v:58:y:1991:i:4:p:677-695.

Access Statistics for this article

The Review of Economic Studies is currently edited by Thomas Chaney, Xavier d’Haultfoeuille, Andrea Galeotti, Bård Harstad, Nir Jaimovich, Katrine Loken, Elias Papaioannou, Vincent Sterk and Noam Yuchtman

More articles in The Review of Economic Studies from Review of Economic Studies Ltd
Bibliographic data for series maintained by Oxford University Press ().