Characterizing factuality in normal form sequential decision making.

Huntley, Nathan; Troffaes, Matthias

Abstract

We prove necessary and sufficient conditions on choice functions for factuality to hold in normal form sequential decision problems. We find that factuality is sufficient for backward induction to work. However, choice must be induced by a total preorder for factuality to hold. Hence, many of the optimality criteria used in imprecise probability theory (such as interval dominance, maximality, and E-admissibility) are counterfactual under normal form decision making.

Citation

Huntley, N., & Troffaes, M. (2009, July). Characterizing factuality in normal form sequential decision making. Presented at Sixth International Symposium on Imprecise Probability: Theories and Applications, Durham, England

• Presentation Conference Type: Conference Paper (published)
• Conference Name: Sixth International Symposium on Imprecise Probability: Theories and Applications
• Start Date: Jul 14, 2009
• End Date: Jul 18, 2009
• Peer Reviewed: Peer Reviewed
• Series Title: ISIPTA'09: Proceedings of the Sixth International Symposium on Imprecise Probability: Theories and Applications.
• Keywords: counterfactual, partial ordering, optimality, decision trees, choice functions, backward induction
• Public URL: https://durham-repository.worktribe.com/output/1159930
• Publisher URL: http://www.sipta.org/isipta09/proceedings/029.html