Expected utility

From Lesswrongwiki
Revision as of 09:23, 29 August 2009 by Vladimir Nesov (talk | contribs)
Jump to: navigation, search
Smallwikipedialogo.png
Wikipedia has an article about


Expected utility is the expected value of a utility function.

Von Neumann and Morgenstern proved the expected utility theorem, which says that when a rational agent chooses between different "gambles" (probability distributions over outcomes), the utility of such a gamble can always be seen as the expected utility of the gamble's outcome.

Humans, of course, are a different story.

See also