We consider a decision maker who can select one of a finite set of possible actions, each of which will result in one of a finite set of possible outcomes. If the decision maker has preferences over these outcomes, it will naturally prefer taking some actions to others, but may be uncertain of the result of each action. In this paper we describe how a decision maker can elicit expert prediction...

1 Who knoWs a utility representation Repeatedly it is alleged that this or that theory concerns a decision maker maximizing some utility function. But, as I have been at pains to discuss, the representation is not a creature of the decision maker but of the scientist studying the decision maker’s behavior “The representation theorems go in only one direction: from behavioral and structural prop...

This paper studies a decision maker who for each choice set selects a subset of (at most) two alternatives. We axiomatize three types of procedures: (i) The top two: the decision maker has in mind an ordering and chooses the two maximal alternatives. (ii) The two extremes: the decision maker has in mind an ordering and chooses the maximal and the minimal alternatives. (iii) The top and the top:...

The Decision maker is developed using fuzzy logic .The Decision Maker helps the user with the decision about which car to buy by considering his own criteria. It uses the basic fuzzy set operations. The Decision Maker with a GUI has been developed in MATLAB. Its GUI displays a menu containing options of small cars and luxury cars. By clicking on any of the options, the user can display the list...

We study optimal contracts between a decision maker and an expert where the decision maker can commit to make transfers to the expert contingent on his advice but cannot commit to take an action contingent on advice. We show that optimal contracts never entail full revelation. Instead, the decision maker pays the expert to reveal for some states and doesn’t compensate the expert at all in other...