Modeling Human Decision Making Using Extended Behavior Networks

In their famous work on prospect theory Kahneman and Tversky have presented a couple of examples where human decision making deviates from rational decision making as defined by decision theory. This paper describes the use of extended behavior networks to model human decision making in the sense of prospect theory. We show that the experimental findings of non-rational decision making described by Kahneman and Tversky can be reproduced using a slight variation of extended behavior networks.