Qualitative Decision Making Under Possibilistic Uncertainty: Toward more discriminating criteria

TL;DR

This paper introduces a refined binary possibilistic utility framework that enhances discrimination in qualitative decision making under possibilistic uncertainty, building on and generalizing previous approaches.

Contribution

It provides a new axiomatization of PU, explores its relation with lexicographic utilities, and redefines lotteries to improve decision criterion discrimination.

Findings

Refined binary possibilistic utility is more discriminating.

New axiomatization clarifies PU's foundations.

Enhanced decision criteria improve qualitative decision making.

Abstract

The aim of this paper is to propose a generalization of previous approaches in qualitative decision making. Our work is based on the binary possibilistic utility (PU), which is a possibilistic counterpart of Expected Utility (EU).We first provide a new axiomatization of PU and study its relation with the lexicographic aggregation of pessimistic and optimistic utilities. Then we explain the reasons of the coarseness of qualitative decision criteria. Finally, thanks to a redefinition of possibilistic lotteries and mixtures, we present the refined binary possibilistic utility, which is more discriminating than previously proposed criteria.