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Nozick, Ramsey, and Symbolic Utility

Published online by Cambridge University Press:  01 September 2008

WESLEY COOPER*
Affiliation:
University of Albertawcooper@ualberta.ca
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Abstract

I explore a connection between Robert Nozick's account of decision value/symbolic utility in The Nature of Rationality1 and F. P. Ramsey's discussion of ethically neutral propositions in his 1926 essay ‘Truth and Probability’,2 a discussion that Brian Skyrms in Choice and Chance3 credits with disclosing deeper foundations for expected utility than the celebrated Theory of Games and Economic Behavior4 of von Neumann and Morgenstern. Ramsey's recognition of ethically non-neutral propositions is essential to his foundational work, and the similarity of these propositions to symbolic utility helps make the case that the latter belongs to the apparatus that constructs expected utility, rather than being reducible to it or being part of a proposal that can be cheerfully ignored. I conclude that decision value replaces expected utility as the central idea in (normative) decision theory. Expected utility becomes an approximation that is good enough when symbolic utility is not at stake.

Information

Type
Research Article
Copyright
Copyright © Cambridge University Press 2008
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Figure 1: Utility and probability

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Figure 2: Two kinds of expected utility, and decision value

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Figure 3: The arrows stand for ‘is explanatorily more fundamental than’. This image will be adjusted when the argument is complete

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Figure 4: Newcomb's Problem, Prisoner's Dilemma, Magic Numbers and Algebraic Form

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Figure 5: Newcomb's Problem with Magic Numbers: There may or may not be a million dollars in the opaque box, and there are a thousand dollars in the transparent box

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Figure 6: Newcomb's Problem with algebraic variables

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Figure 7: Revenge of the Magic Numbers: some values of the algebraic variables allow a CEU solution: You have little to lose, so take both boxes

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Figure 8: Revenge of the Magic Numbers: some values of the algebraic variables allow an EEU solution: You have little to win, so take just the opaque box

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Figure 9: A Prisoner's Dilemma with Magic Numbers

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Figure 10: A Prisoner's Dilemma with algebraic variables

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Figure 11: Revenge of the Magic Numbers: some areas of the algebraic space make cooperation rational

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Figure 12: Revenge of the Magic Numbers: in terms of utility

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Figure 13: Ramsey's definitions, and three models of the EU–SU relationship

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Figure 14: The Von Neumann–Morgenstern and Ramsey tests for utility

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Figure 15: The ‘egg-shell’ conception of symbolic utility's relationship to expected utility