Rao, Li-Lin; Li, Shu - In: Judgment and Decision Making 6 (2011) 2, pp. 122-129
Similar to research on risky choice, the traditional analysis of intertemporal choice takes the view that an individual behaves so as to maximize the discounted sum of all future utilities. The well-known Allais paradox contradicts the fundamental postulates of maximizing the expected value or...