With the increasing popularity of e-commerce systems, commercial transactions are becoming more and more frequent. Such transactions are not direct but mediated, putting the buyer in a position of weakness with respect to the seller, especially in the case of a failure of a transaction. The...

Expected utility theory (EUT) is currently the standard framework which formally defines rational decision-making under risky conditions. EUT uses a theoretical device called von Neumann-Morgenstern utility function, where concepts of function and random variable are employed in their...

In this study we introduce a new stochastic choice rule that categorizes objects in order to simplify the choice procedure. At any given trial, the decision maker deliberately randomizes over mental categories and chooses the best item according to her utility function within the realized...