Decision-theoretic aspects of risk-taking behaviour

✍ Scribed by Rainer Pötzsch

• Publisher: Springer US
• Year: 1972
• Tongue: English
• Weight: 1007 KB
• Volume: 3
• Category: Article
• ISSN: 0040-5833
• DOI: 10.1007/bf00141051

✦ Synopsis

A crucial problem in economic decision (game) theory is to specify by an algorithm the standards of behaviour which determine the process of decision-making. Recent research has indicated that the attitude to risk is an important argument for finding unique solutions for decision problems. In this study different behaviour-constants of decision-making are reported which clarify that a logical equivalency exists between decision-making, conflict, achievement motive and risk-taking. By using information theoretic arguments as a transform rule, it is suggested to measure risk-preference and risk-aversion in terms of redundancy and related measures.