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Risk's place in decision rules

Paul Weirich

pp. 427-441

Abstract

To handle epistemic and pragmatic risks, Gärdenfors and Sahlin (1982, 1988) design a decision procedure for cases in which probabilities are indeterminate. Their procedure steps outside the traditional expected utility framework. Must it do this? Can the traditional framework handle risk? This paper argues that it can. The key is a comprehensive interpretation of an option's possible outcomes. Taking possible outcomes more broadly than Gärdenfors and Sahlin do, expected utility can give risk its due. In particular, Good's (1952) decision procedure adequately handles indeterminate probabilities and the risks they generate.

Publication details

Published in:

(2001) Synthese 126 (3).

Pages: 427-441

DOI: 10.1023/A:1005240226961

Full citation:

Weirich Paul (2001) „Risk's place in decision rules“. Synthese 126 (3), 427–441.