Subjective utilitarianism: Individual decisions in a social context

Alon, Shiri; Lehrer, Ehud

Abstract

Individual decisions are often subjectively affected by other-regarding considerations. We model a decision maker influenced by a grand group of significant others. Each sub-group of significant others is a possible social context, and the decision maker has different preferences in different social contexts. An axiomatic characterization of such preferences is offered. The characterized representation takes a simple subjective utilitarian form: (a) the decision maker ascribes to each significant other a utility function, representing the decision maker's subjective perception of this other person's tastes, and (b) in any specific social context the decision maker evaluates alternatives by adding together her or his own personal utility and the sum of all group members' utilities as subjectively perceived by the decision maker.

Citation

Alon, S., & Lehrer, E. (2020). Subjective utilitarianism: Individual decisions in a social context. Journal of Economic Theory, 190, Article 105108. https://doi.org/10.1016/j.jet.2020.105108

• Journal Article Type: Article
• Acceptance Date: Aug 26, 2020
• Online Publication Date: Sep 23, 2020
• Publication Date: 2020-11
• Deposit Date: Aug 16, 2023
• Journal: Journal of Economic Theory
• Print ISSN: 0022-0531
• Electronic ISSN: 1095-7235
• Publisher: Elsevier
• Peer Reviewed: Peer Reviewed
• Volume: 190
• Article Number: 105108
• DOI: https://doi.org/10.1016/j.jet.2020.105108
• Keywords: Economics and Econometrics
• Public URL: https://durham-repository.worktribe.com/output/1719589