The trouble is, mainstream economics has not abandoned utility theory: it does not regard it as falsified, after all.

ECONOMIST: News from the lab

One set of authors concluded that the reversal effect was inconsistent not only with utility theory but also with every existing theory of economic decision-making.

ECONOMIST: News from the lab

Many would defend utility theory (as well as other aspects of their standard model of behaviour) as a useful approximation, pointing out that exceptions to approximations can always be found.

ECONOMIST: News from the lab

Kempton's theory is beginning to win applause from some car and utility folks, but daunting technical and economic obstacles make it a tough sell.

FORBES: Magazine Article