Proceedings of the 2014 International Conference on Economic Management and Trade Cooperation

A Two-step Decision Making Model

Authors
Gao Kao, Nian Min
Corresponding Author
Gao Kao
Available Online April 2014.
DOI
https://doi.org/10.2991/emtc-14.2014.81How to use a DOI?
Keywords
two-step decision-making, strategic plan, endogenetic time preference, self control.
Abstract

EDU framework has both ideological and empirical defects for it only considers one link of the whole decision-making process ignoring another link of selection of stage goal and ‘strategic’ plan, which plays an important role in the direction and affects the following allocation of specific resources. By investigating people's decision behavior, a two-step decision making model is developed on the basis of EDU framework and TRP theory to illustrate a decision-maker’s thinking and behavior characteristics. Introduction of value function of three reference points and strategic plan make the process of choice more realistic than utility function and more crucial to explain the chosen results. In addition, self-control problem is incorporated into the model to relax the underlying assumption of plan’s being fully implemented, which makes decision more implementable and effective.

Copyright
© 2014, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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Volume Title
Proceedings of the 2014 International Conference on Economic Management and Trade Cooperation
Series
Advances in Intelligent Systems Research
Publication Date
April 2014
ISBN
978-94-6252-008-0
ISSN
1951-6851
DOI
https://doi.org/10.2991/emtc-14.2014.81How to use a DOI?
Copyright
© 2014, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Cite this article

TY  - CONF
AU  - Gao Kao
AU  - Nian Min
PY  - 2014/04
DA  - 2014/04
TI  - A Two-step Decision Making Model
BT  - Proceedings of the 2014 International Conference on Economic Management and Trade Cooperation
PB  - Atlantis Press
SP  - 483
EP  - 488
SN  - 1951-6851
UR  - https://doi.org/10.2991/emtc-14.2014.81
DO  - https://doi.org/10.2991/emtc-14.2014.81
ID  - Kao2014/04
ER  -