CONTENTS
Preface = ix
Symbols = xi
Introduction = 1
1 Choice = 7
Choice Problems = 7
Reasonable Choice = 9
The expansion and Contraction Axioms = 12
Rational Choice = 15
The Congruence Axiom = 17
Preference Revelation = 20
The Extension Axiom = 22
Utility = 26
An Overview = 28
2 Uncertainty = 31
Uncertainty Problems = 31
Rationality and Expected Utility = 33
The Substitution Axiom = 37
The Continuity Axiom = 40
The Expected Utility Property = 44
Subjective Probability = 46
State-Independent Utility = 49
3 Risk = 53
Number Lotteries = 53
Risk Aversion = 55
The Probability Risk Premium = 58
The Outcome Risk Premium = 61
Comparative Risk Aversion = 64
4 Strategy = 71
Strategy Problems = 71
Rationality and Rationalisable Acts = 74
The Consistency Axiom = 76
Dominance = 79
Iteratively Undominated Acts = 81
Equilibrium in Beliefs = 83
Equilibrium in Acts = 86
5 Knowledge = 89
Knowledge Functions = 89
Self-Evident Sets = 92
Knowledge Partitions = 94
Mutual Knowledge = 98
Common Knowledge = 99
Common Knowledge and Self-Evident Sets = 102
Knowledge and Choice Problems = 105
Knowledge and Rationality = 106
6 Society = 111
Social Choice Problems = 111
Information Requirements = 113
Responsiveness Acceptable Rules = 119
Acceptable Reasonable Rules = 121
Admissible Rational Rules = 125
Appendix: Sets and Numbers = 129
References = 137
Index = 141