In economics, a random utility model (RUM), also called stochastic utility model, is a mathematical description of the preferences of a person, whose choices are not deterministic, but depend on a random state variable. == Background == A basic assumption in classic economics is that the choices of a rational person choices are guided by a preference relation, which can usually be described by a utility function.
In economics, a random utility model (RUM), also called stochastic utility model, is a mathematical description of the preferences of a person, whose choices are not deterministic, but depend on a random state variable. == Background == A basic assumption in classic economics is that the choices of a rational person choices are guided by a preference relation, which can usually be described by a utility function.
Source: Wikipedia "Random utility model" · CC BY-SA 4.0
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