Beliefs and Dynamic Consistency,

In this chapter, we adopt the decision theoretic approach to the representation and updating of beliefs. We take up this issue and propose a reconsideration of Hammond's argument. After reviewing the argument more formally, we propose a weaker notion of dynamic consistency. We observe that this notion does not imply the full fledged sure thing principle thus leaving some room for models that are not based on expected utility maximization. However, these models still do not account for ''imprecision averse" behavior such as the one exhibited in Ellsberg experiment and that is captured by non-Bayesian models such as the multiple prior model. We therefore go on with the argument and establish that such non-Bayesian models possess the weak form of dynamic consistency when the information considered consists of a reduction in imprecision (in the Ellsberg example, some information about the proportion of Black and Yellow balls

A Human Driver Model for Autonomous Lane Changing in Highways: Predictive Fuzzy Markov Game Driving Strategy

This study presents an integrated hybrid solution to mandatory lane changing problem to deal with accident avoidance by choosing a safe gap in highway driving. To manage this, a comprehensive treatment to a lane change active safety design is proposed from dynamics, control, and decision making aspects. My effort first goes on driver behaviors and relating human reasoning of threat in driving for modeling a decision making strategy. It consists of two main parts; threat assessment in traffic participants, (TV s) states, and decision making. The first part utilizes an complementary threat assessment of TV s, relative to the subject vehicle, SV , by evaluating the traffic quantities. Then I propose a decision strategy, which is based on Markov decision processes (MDPs) that abstract the traffic environment with a set of actions, transition probabilities, and corresponding utility rewards. Further, the interactions of the TV s are employed to set up a real traffic condition by using game theoretic approach. The question to be addressed here is that how an autonomous vehicle optimally interacts with the surrounding vehicles for a gap selection so that more effective performance of the overall traffic flow can be captured. Finding a safe gap is performed via maximizing an objective function among several candidates. A future prediction engine thus is embedded in the design, which simulates and seeks for a solution such that the objective function is maximized at each time step over a horizon. The combined system therefore forms a predictive fuzzy Markov game (FMG) since it is to perform a predictive interactive driving strategy to avoid accidents for a given traffic environment. I show the effect of interactions in decision making process by proposing both cooperative and non-cooperative Markov game strategies for enhanced traffic safety and mobility. This level is called the higher level controller. I further focus on generating a driver controller to complement the automated car’s safe driving. To compute this, model predictive controller (MPC) is utilized. The success of the combined decision process and trajectory generation is evaluated with a set of different traffic scenarios in dSPACE virtual driving environment. Next, I consider designing an active front steering (AFS) and direct yaw moment control (DYC) as the lower level controller that performs a lane change task with enhanced handling performance in the presence of varying front and rear cornering stiffnesses. I propose a new control scheme that integrates active front steering and the direct yaw moment control to enhance the vehicle handling and stability. I obtain the nonlinear tire forces with Pacejka model, and convert the nonlinear tire stiffnesses to parameter space to design a linear parameter varying controller (LPV) for combined AFS and DYC to perform a commanded lane change task. Further, the nonlinear vehicle lateral dynamics is modeled with Takagi-Sugeno (T-S) framework. A state-feedback fuzzy H∞ controller is designed for both stability and tracking reference. Simulation study confirms that the performance of the proposed methods is quite satisfactory

Applications of Fuzzy Set Theory, Fuzzy Measure Theory and Fuzzy Differential Calculus

This research tackles the issue of uncertainty due to lack of information, alternatively known as Knightian Uncertainty, and its impact on option pricing. In the presence of such uncertainty, Probability Theory becomes restrictive and alternative tools are called for. In this research, we consider tools of Fuzzy Theory. We introduce three Option Pricing Models the first of which is a fuzzy binomial model based on the standard CRR binomial model. The model performs option pricing in a fuzzy world characterized by blurred prices. In such a world, it is no longer possible to price by replication. So we introduce a fuzzy pricing approach that employs Sugeno integration and fuzzy measures, and generates bounds on the possible option price. The second model is a fuzzy Black-Scholes model, which prices options in the presence of uncertain or fuzzy volatility. We model such volatility by establishing bounds on the corresponding fuzzy values thereby generating fuzzy bounds on the possible option price. Finally, the third model is an extension on an existing one period fuzzy binomial model that prices options when the underlying price is characterized by opacity. The option price returned by this model is dependent on a market parameter that summarizes its completeness. However, it is possible to defuzzify the last two models to obtain one crisp price that summarizes market information. The last two models outperform their standard counterparts

A Strategy Optimization Approach for Mission Deployment in Distributed Systems

In order to increase operational efficiency, reduce delays, and/or maximize profit, almost all the organizations have split their mission into several tasks which are deployed in distributed system. However, due to distributivity, the mission is prone to be vulnerable to kinds of cyberattacks. In this paper, we propose a mission deployment scheme to optimize mission payoff in the face of different attack strategies. Using this scheme, defenders can achieve “appropriate security” and force attackers to jointly safeguard the mission situation

Lattices and discrete methods in cooperative games and decisions

Questa tesi si pone l'obiettivo di presentare la teoria dei giochi, in particolare di quelli cooperativi, insieme alla teoria delle decisioni, inquadrandole formalmente in termini di matematica discreta. Si tratta di due campi dove l'indagine si origina idealmente da questioni applicative, e dove tuttavia sono sorti e sorgono problemi più tipicamente teorici che hanno interessato e interessano gli ambienti matematico e informatico. Anche se i contributi iniziali sono stati spesso formulati in ambito continuo e utilizzando strumenti tipici di teoria della misura, tuttavia oggi la scelta di modelli e metodi discreti appare la più idonea. L'idea generale è quindi quella di guardare fin da subito al complesso dei modelli e dei risultati che si intendono presentare attraverso la lente della teoria dei reticoli. Ciò consente di avere una visione globale più nitida e di riuscire agilmente ad intrecciare il discorso considerando congiuntamente la teoria dei giochi e quella delle decisioni. Quindi, dopo avere introdotto gli strumenti necessari, si considerano modelli e problemi con il fine preciso di analizzare dapprima risultati storici e solidi, proseguendo poi verso situazioni più recenti, più complesse e nelle quali i risultati raggiunti possono suscitare perplessità. Da ultimo, vengono presentate alcune questioni aperte ed associati spunti per la ricerca

Choice under uncertainty with the best and worst in mind : neo-additive capacities

The concept of a non-extreme-outcome-additive capacity (neo-additive capacity ) is introduced. Neo-additive capacities model optimistic and pessimistic attitudes towards uncer-tainty as observed in many experimental studies. Moreover, neo-additive capacities can be applied easily in economic problems, as we demonstrate by examples. This paper provides an axiomatisation of Choquet expected utility with neo-capacities in a framework of purely subjective uncertainty