Maximization of Utility and the Objective Function

Author:

Sheng C. L.

Publisher

Springer Netherlands

Reference36 articles.

1. My discussion of value here is for the purpose of study in interpersonal comparisons of utility and distributive justice and, hence, is from a point of view of social choice and decision. Then my view seems to be also that of most decision scientists, as exemplified by the following statement by Peter C. Fishburn: “Every decision situation is unique. Value and worth have meaning only in connection with a human agent within a purpose, and is relative to this agent within the context of a decision situation.”* Here the term “relative” is referred to the decision situation of an agent and, therefore, is equivalent to my “subjective.” * Peter C. Fishburn, Decision and Value Theory (New York: John Wiley and Sones, 1964), pp. 39-40.

2. J. L. Hanson, A Dictionary of Economics and Commerce (London: MacDonald and Evens, 1969), p. 127.

3. C. L. Sheng, “A General Utility Function for Decision Making,” Mathematical Modelling, Vol. 5, No. 4 (1984), pp. 265–274.

4. Ralph L. Keeney and Howard Raiffa, Decisions with Multiple Objectives: Preferences and Value Tradeoffs (New York: John Wiley and Sons, 1976), p. 150.

5. John C. Harsanyi has a similar opinion as mine. He distinguishes between a person’s manifest preferences and true preferences. See John C. Harsanyi, “Morality and the Theory of Rational Behaviour,” Social Research, Vol. 44, No. 4 (Winter 1977), pp. 39-62.

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