A GENERAL APPROACH TO DECISION MAKING WITH INTERVAL PROBABILITIES

Abstract

We propose a general method for decision making in situations in which our information about the relevant probabilities is available in the form of intervals. A key component of this approach is our algorithm which is used to resolve the imprecise probabilities. This algorithm makes considerable use of the decision maker's attitude as expressed in a scale with optimistic and pessimistic as its poles.

Keywords:

• Interval probability
• decision analysis
• decision maker's optimism
• entropy
• ordered weighted averaging operator
• belief function
• effective probability