The paper reconstructs the history of the experimental attempts to measure the cardinal utility of money between 1950 and 1985 within the framework provided by expected utility theory (EUT). It is shown that this history displays a definite trajectory: from the confidence in EUT and the EUT-based measurement of utility of the 1950s to the skepticism that, from the mid-1970s, haunted the validity of EUT as well as the significance of the utility measures obtained through it. By exploring the diverse aspects and causes of this trajectory, the paper covers new ground in the history of both decision theory and utility measurement.

Expected utility theory and experimental utility measurement, 1950 - 1985. From confidence to scepticism

MOSCATI, IVAN
2017-01-01

Abstract

The paper reconstructs the history of the experimental attempts to measure the cardinal utility of money between 1950 and 1985 within the framework provided by expected utility theory (EUT). It is shown that this history displays a definite trajectory: from the confidence in EUT and the EUT-based measurement of utility of the 1950s to the skepticism that, from the mid-1970s, haunted the validity of EUT as well as the significance of the utility measures obtained through it. By exploring the diverse aspects and causes of this trajectory, the paper covers new ground in the history of both decision theory and utility measurement.
2017
Expected utility theory; Utility of money; Utility measurement; Experiments on individual decision-making; Non-expected-utility theories
Moscati, Ivan
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Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/11383/2062825
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