Stochastic choiceConsideration setsBounded rationalityRevealed preferenceManzini and Mariotti (2014) define the menu-independent random consideration set rule, where the decision maker considers each alternative
Mariotti. Stochastic choice and consideration sets. Econometrica, 82(3): 1153–1176, 2014. P. Manzini and M. Mariotti. State dependent choice. Social Choice and Welfare, 45(2):239– 268, 2015. P. Manzini and M. Mariotti. Dual random utility maximisation. Journal of Economic Theory, 177:...
Modelling route choice behaviours are essential in traffic operation and transportation planning. Many studies have focused on route choice behaviour using the stochastic model, and they have tried to construct the heterogeneous route choice model with various types of data. This study aims to develop...
Careful consideration needs to be given to the interpretation of the solution to such problems. References Agranov, M., Ortoleva, P.: Stochastic choice and preferences for randomization. J. Polit. Econ. 125(1), 40–68 (2017) Agranov, M., Ortoleva, P.: Ranges of Randomization. Working ...
The choice of the most suitable approach also depends on the position of the decision makers regarding the risk. A strong risk-averse position is more aligned with robust optimization models, while positions more tolerant to risk lead, in general, to stochastic programming models. In addition to...
The choice whether joint or individual chance constraints should be used depends on the system being modeled. Both approaches have their own advantages. Individual chance constraints are weaker since not all constraints have to be satisfied at the same time. This can be clearly observed in the opt...
2,t}(stochasticity only arises from the dataset randomness), and where disjoint batches are used for all iterations, as well as within iterations. This choice is motivated by the goal of extracting population risk bounds for their algorithm. ...
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The choice of α = 1 is not quite realistic from a financial viewpoint, if the asset is linked to stocks, because the mean reversion rate is generally larger. When the asset corresponds to interest rates, such values of α are reasonable. When the mean reversion rate is large, it is po...
1, at the beginning, a choice (Choice 1) should be made because there are two main methods that can be utilized to install windows. One is installation with scaffolding (Method 1) and the involved activities are activities 1–5. The other one is installation with scissor lift and three ...