IDEAS home Printed from https://ideas.repec.org/p/ies/wpaper/e202307.html
   My bibliography  Save this paper

From Decision Utility to Experienced Utility: Back and Forth

Author

Listed:
  • Ivan Mitrouchev

    (IESEG School of Management, Univ. Lille, CNRS, UMR 9221 - LEM - Lille Economie Management, F-59000 Lille, France)

Abstract

This article reviews and discusses the axiomatic foundations of the normative theory of experienced utility proposed by Kahneman et al. (1997). First, I emphasise some philosophical problems with the axioms of Separability and Time Neutrality, which may require to reconsider them. Second, I discuss the implications of taking remembered utility rather than moment utility as the informational basis of the theory. Third, although the theoretical discrepancy between decision utility and experienced utility is intuitively appealing, signi?cant evidence about such a discrepancy is lacking, which may lead us back to decision utility as a welfare-relevant criterion.

Suggested Citation

  • Ivan Mitrouchev, 2023. "From Decision Utility to Experienced Utility: Back and Forth," Working Papers 2023-iRisk-04, IESEG School of Management.
    • Handle: RePEc:ies:wpaper:e202307
    as

    Download full text from publisher

    File URL: https://www.ieseg.fr/wp-content/uploads/2023/07/2023-iRisk-04.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    happiness – time – utility – welfare;

    JEL classification:

    • B41 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Economic Methodology
    • D60 - Microeconomics - - Welfare Economics - - - General
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ies:wpaper:e202307. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Lies BOUTEN (email available below). General contact details of provider: https://edirc.repec.org/data/iesegfr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.