| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 977975 | Physica A: Statistical Mechanics and its Applications | 2008 | 6 Pages |
Abstract
The maximum entropy principle can be used to assign utility values when only partial information is available about the decision maker’s preferences. In order to obtain such utility values it is necessary to establish an analogy between probability and utility through the notion of a utility density function. In this paper we explore the maximum entropy principle to estimate the utility function of a risk averse decision maker.
Related Topics
Physical Sciences and Engineering
Mathematics
Mathematical Physics
Authors
Andreia Dionisio, A. Heitor Reis, Luis Coelho,