Uncertainty and computational complexity
P Bossaerts, Nitin Yadav, Carsten Murawski
Philosophical Transactions of the Royal Society B: Biological Sciences | Royal Society, The | Published : 2018
Modern theories of decision-making typically model uncertainty about decision options using the tools of probability theory. This is exemplified by the Savage framework, the most popular framework in decision-making research. There, decision-makers are assumed to choose from among available decision options as if they maximized subjective expected utility, which is given by the utilities of outcomes in different states weighted with subjective beliefs about the occurrence of those states. Beliefs are captured by probabilities and new information is incorporated using Bayes’ Law. The primary concern of the Savage framework is to ensure that decision-makers’ choices are rational. Here, we use ..View full abstract
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Awarded by Australian Research Council-grant
This work was supported by Australian Research Council-grant no. DP180102284 (P.B.) and a University of Melbourne r@map chair (P.B.).