Decision Theory
The study of how individuals make choices among alternatives and the principles that guide these choices.
79 topics found for
“user behavior modeling”
Discounted Utility
A concept in behavioral economics that describes how future benefits are perceived as less valuable than immediate ones.
Normal Data Distribution
A symmetrical, bell-shaped distribution of data where most observations cluster around the mean.
Anchor Pricing
A pricing strategy where a high-priced option is introduced first to set a reference point, making other options seem more attractive in comparison.
Certainty Effect
A cognitive bias where people give greater weight to outcomes that are certain compared to those that are merely probable.
Cannon-Bard Theory
A theory of emotion suggesting that physical and emotional responses to stimuli occur simultaneously and independently.
Game Theory
A mathematical framework used to analyze strategic interactions where the outcomes depend on the actions of multiple decision-makers.
Bounded Rationality
A concept that humans make decisions within the limits of their knowledge, cognitive capacity, and available time, leading to satisficing rather than optimal solutions.
Churn
The rate at which customers stop using a product or service, often used as a metric to measure customer retention.