Abstract
This chapter deals with decision problems under risk as defined in Knight (1921), i.e. the problem of choosing from a number of options, each of which could give rise to more than one possible outcome with different probabilities. As in Chap. 2, however, the main intention is to clarify notation and to state results that will be used in the following chapters, not to give a complete overview on expected utility theory. For a general introduction and further references, see e.g. the textbooks of Kreps (1988), French (1986), Gollier (2001), or Bamberg and Coenenberg (2006).
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© 2007 Springer-Verlag Berlin Heidelberg
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(2007). Expected Utility Theory for Sequential Decision Making. In: Risk-Averse Capacity Control in Revenue Management. Lecture Notes in Economics and Mathematical Systems, vol 597. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-540-73014-9_3
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DOI: https://doi.org/10.1007/978-3-540-73014-9_3
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-540-73013-2
Online ISBN: 978-3-540-73014-9
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