Physical Sciences and Mathematics Commons^™

Essays On Boundedly Rational Choice., Tanmoy Das Dr.

Doctoral Theses

Decision theory or the theory of choice is the analysis of individual behavior, typically in noninteractive situations. We can conceptualize two types of decision theory - normative and descriptive. A normative theory is concerned with identifying the best decision to make, modeling a decision maker who comports to certain ideals. A descriptive theory is a theory about how decisions are made. Such a theory is concerned with explaining observed behavior or predicting behavior under the assumption that the decision-maker or decision process follows some rules. The predictions about behavior that descriptive theory produces allow further tests of the assumed underlying, …