Economics Dictionary of ArgumentsHome | |||
| |||
Axiomatic Utility Theory - Economics Dictionary of Arguments | |||
Axiomatic utility theory is a framework within economics and decision theory that uses axioms, or fundamental principles, to describe how individuals should rationally make choices under uncertainty. It quantifies preferences over outcomes into a utility function, allowing for the comparison and ranking of different choices based on expected utility, thereby guiding optimal decision-making. | |||
Author | Item | More authors for concept | |
---|---|---|---|
Axiomatic Utility Theory | Utility | Utility | |
Ed. Martin Schulz, access date 2024-03-28 |