As part of expected utility theory, what principle states that preferences should remain the same no matter how preferences are measured and no matter how decision alternatives are described?
A)Probability principles
B)Transitive principle
C)Choice deferral principle
D)Domination principle
E)Invariance principle

Question

Quizplus · Accepted Answer

The invariance principle states that preferences should remain the same regardless of how preferences are measured or how decision alternatives are described. This principle helps to ensure consistency in decision-making and is a key aspect of expected utility theory.

As Part of Expected Utility Theory, What Principle States That