The EMV approach and Utility theory always result in the same choice of alternatives.

Question

Quizplus · Accepted Answer

The EMV approach and Utility theory might not always result in the same choice of alternatives, as they are based on different assumptions and calculations. The EMV approach focuses on maximizing expected monetary value, while utility theory takes into account individuals' subjective preferences and satisfaction. Therefore, there might be situations where a choice that has a higher EMV might not be the preferred choice for an individual based on their utility function.

The EMV Approach and Utility Theory Always Result in the Same