Excerpt: While flawed thinking about risk can cause consumers to make decisions they like at the time, they may end up with poorer health prospects and more financial risk than if they had followed a model known as 'expected utility maximization,' .... Used primarily by economists and decision theorists, the expected utility (EU) model 'values risky prospects as a weighted average of the possible outcomes, with the weights being the probabilities and the values being the utility ....'  MORE >>