WorksheetsIMS555 - Chapter 6
Total questions: 16
Worksheet time: 8mins
What is "uncertainty" in the context of decision theory?
Knowing all possible outcomes and their exact probabilities
Having too much data and too much information
A state where all outcomes are equally likely by default
A lack of evidence or information preventing a preference for one alternative
What is the principle of insufficent reason?
Always selecting the worst outcome
Ignoring all evidence
Choosing the most likely outcome
Assigning equal probabilities to all possible outcomes
"Weight" in decision theory is described as being positively correlated with:
Risk
Utility
Evidence
Evidence
What does Bayesian decision theory state about rational agents?
They have a coherent set of probabilistic beliefs
They always choose the option with the lowest expected utility
They always choose the option with the highest expected utility
They never change their beliefs based on new evidence
What is the Paradox of Ideal Evidence?
Evidence that confirms existing beliefs
Assigning low probability to a hypothesis with high evidence
Assigning high probability to a hypothesis with low evidence
Evidence that is irrelevant to decision making
According to Ellsberg's Paradox, what do people tend to choose?
Unknown probability of winning
Known probability of winning
Equal probabilities of winning
No preference between probabilities
What is the purpose of Reliability-Weighted Expected Utility?
To ignore all probabilities
To choose the option with the lowest expected utility
To maximize uncertainty
To calculate a definite expected value for each alternative
A statement that leads to a senseless or self-contradictory conclusion despite sound reasoning is called a:
Theory
Hypothesis
Criterion
Paradox
What is the main idea behind Levi's Lexicographical Test?
To choose the option with the highest expected utility
To propose a series of three lexicographically ordered tests
To ignore all decision criteria
To assign equal probabilities to all outcomes
Which two paradoxes are specifically highlighted as "Paradoxes of Uncertainty"?
Allais's and Zeno’s Paradox.
Paradox of Ideal Evidence and Ellsberg’s Paradox
The Liar’s Paradox and the Gambler’s Fallacy
The Prisoner’s Dilemma and Newcomb's Paradox
Ellsberg’s Paradox demonstrates that people generally prefer:
Unknown probabilities over known ones.
Known probabilities over unknown probabilities.
High-risk gambles over low-risk ones.
To not gamble at all.
A measure that divides probability values into "possible" and "impossible" groups is a:
Binary measure
Multi-valued measure
Bayesian measure.
Fuzzy measure
Which measure assigns a numerical value representing the "degree of reliability" to each probability between 0 and 1?
Multi-valued measure
Binary measure
Paradoxical measure
Simple measure
What is the decision rule of Maximin Expected Utility?
Choose the option with the lowest expected utility
Choose the option with the highest minimal expected utility
Choose the option with the lowest minimal expected utility
Choose the option with the highest expected utility
What is the concept behind the Paradox of Uncertainty?
People always make decisions based on expected utility theory
People tend to ignore all probabilities
People do not always make decisions based on logical foundations
People always choose the option with the lowest expected utility
Under the Maximin Expected Utility rule, you should choose the alternative with the:
Largest possible gain
Smallest possible loss
Largest minimal expected utility
Highest average utility
