IDEAS home Printed from https://ideas.repec.org/a/ier/iecrev/v34y1993i2p297-308.html
   My bibliography  Save this article

Choice under Partial Uncertainty

Author

Listed:
  • Kelsey, David

Abstract

This paper analyzes problems of choice under uncertainty where a decisionmaker does not use subjective probabilities. The decisionmaker has a set of beliefs about which states are more likely than others, but his beliefs cannot be represented as subjective probabilities. Three main kinds of decision rules are possible in this framework. These are maximin-type, maximax-type, and choosing that action that gives the highest payoff in the state, which the decisionmaker believes to be most likely. The author replaces the commonly used 'merger of states' axiom with a version of the sure-thing principle. Copyright 1993 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

Suggested Citation

  • Kelsey, David, 1993. "Choice under Partial Uncertainty," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 34(2), pages 297-308, May.
    • Handle: RePEc:ier:iecrev:v:34:y:1993:i:2:p:297-308
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0020-6598%28199305%2934%3A2%3C297%3ACUPU%3E2.0.CO%3B2-A&origin=repec
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rolf Aaberge, 2011. "Empirical rules of thumb for choice under uncertainty," Theory and Decision, Springer, vol. 71(3), pages 431-438, September.
    2. Harrison-Trainor, Matthew & Holliday, Wesley H. & Icard, Thomas F., 2018. "Inferring probability comparisons," Mathematical Social Sciences, Elsevier, vol. 91(C), pages 62-70.
    3. Aditi Bhattacharyya, 2018. "Median-based Rules for Decision-making under Complete Ignorance," Studies in Microeconomics, , vol. 6(1-2), pages 1-13, June.
    4. Hasson, Reviva & Löfgren, Åsa & Visser, Martine, 2010. "Climate change in a public goods game: Investment decision in mitigation versus adaptation," Ecological Economics, Elsevier, vol. 70(2), pages 331-338, December.
    5. W. Botzen & Jeroen Bergh, 2014. "Specifications of Social Welfare in Economic Studies of Climate Policy: Overview of Criteria and Related Policy Insights," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(1), pages 1-33, May.
    6. Jorge Alcalde-Unzu & Ricardo Arlegi & Miguel Ballester, 2013. "Uncertainty with ordinal likelihood information," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 41(2), pages 397-425, July.
    7. Ben-Haim, Yakov & Osteen, Craig D. & Moffitt, L. Joe, 2013. "Policy dilemma of innovation: An info-gap approach," Ecological Economics, Elsevier, vol. 85(C), pages 130-138.
    8. Naeve, Jorg, 2000. "Maximax, leximax, and the demanding criterion," Mathematical Social Sciences, Elsevier, vol. 40(3), pages 313-325, November.
    9. Moffitt L. Joe & Stranlund John K. & Field Barry C., 2005. "Inspections to Avert Terrorism: Robustness Under Severe Uncertainty," Journal of Homeland Security and Emergency Management, De Gruyter, vol. 2(3), pages 1-19, September.
    10. Aldred, Jonathan, 2013. "Justifying precautionary policies: Incommensurability and uncertainty," Ecological Economics, Elsevier, vol. 96(C), pages 132-140.
    11. Aditi Bhattacharyya, 2010. "Median-based Rules for Decision-making under Complete Ignorance," Working Papers 1010, Sam Houston State University, Department of Economics and International Business.
    12. John K. Stranlund & Barry C. Field, 2006. "On the Production of Homeland Security Under True Uncertainty," Working Papers 2006-5, University of Massachusetts Amherst, Department of Resource Economics.
    13. Carlo Zappia, 2008. "Non-Bayesian decision theory ante-litteram: the case of G. L. S. Shackle," Department of Economic Policy, Finance and Development (DEPFID) University of Siena 0408, Department of Economic Policy, Finance and Development (DEPFID), University of Siena.
    14. Marcello Basili & Carlo Zappia, 2009. "Shackle And Modern Decision Theory," Metroeconomica, Wiley Blackwell, vol. 60(2), pages 245-282, May.
    15. Mignan, A. & Karvounis, D. & Broccardo, M. & Wiemer, S. & Giardini, D., 2019. "Including seismic risk mitigation measures into the Levelized Cost Of Electricity in enhanced geothermal systems for optimal siting," Applied Energy, Elsevier, vol. 238(C), pages 831-850.
    16. Shaw, W. Douglass & Woodward, Richard T., 2008. "Why environmental and resource economists should care about non-expected utility models," Resource and Energy Economics, Elsevier, vol. 30(1), pages 66-89, January.
    17. Adrian Vermeule, 2015. "Rationally Arbitrary Decisions in Administrative Law," The Journal of Legal Studies, University of Chicago Press, vol. 44(S2), pages 475-507.
    18. Amélie Vrijdags, 2013. "Min- and Max-induced rankings: an experimental study," Theory and Decision, Springer, vol. 75(2), pages 233-266, August.
    19. Marcello Basili & Carlo Zappia, 2010. "Ambiguity and uncertainty in Ellsberg and Shackle," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 34(3), pages 449-474.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ier:iecrev:v:34:y:1993:i:2:p:297-308. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley-Blackwell Digital Licensing or the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/deupaus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.