In this paper we extend the classical decision model under uncertainty to a more general case. We propose an expected utility-uncertainty model and we can make a decision by trading off between a measure of uncertainty and a measure of expected value. As a risk analysis model, the expected utility-uncertainty model can be seen to be reasonable and flexible for states of nature or individuals' preferences. Moreover, the model can explain some decision paradoxes.
In this paper we extend the classical decision model under uncertainty to a more general case. We propose an expected utility-uncertainty model and we can make a decision by trading off between a measure of uncertainty and a measure of expected value. As a risk analysis model, the expected utility-uncertainty model can be seen to be reasonable and flexible for states of nature or individuals' preferences. Moreover, the model can explain some decision paradoxes.