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Sources and types of uncertainty

Broad levels of our knowledge

What we know

What we can expect to know

What we can't or might never know

 

Bounded rationality

un-bounded rationality means that we will have all the information we need to make a decision

bounded - we might have to use less information

cost factor - it may be cheaper to solve the problem than understand it

 

Sources of uncertainty

(Chapter 9, table 9-2)

variability

limited knowledge

human volition

 

Indeterminancy

Adams 2000

overwhelming power density - totally changes the object of study