Action axiom
Encyclopedia
An action axiom is an axiom
that embodies a criterion for recommending action. Action axioms are of the form "IF a condition holds, THEN the following should be done." Decision theory
and, hence, decision analysis
are based on the maximum expected utility (MEU) action axiom. In general, the principle for action embodied by an action axiom (such as MEU) is highly defensible, and its scope is very broad.
The action-axiom is the basis of praxeology, and it is the basic proposition that all specimens of the species homo sapiens, the homo agens, purposefully utilize means over a period of time in order to achieved desired ends. In Human Action, Mises defined “action” in the sense of the action axiom by elucidating:
Axiom
In traditional logic, an axiom or postulate is a proposition that is not proven or demonstrated but considered either to be self-evident or to define and delimit the realm of analysis. In other words, an axiom is a logical statement that is assumed to be true...
that embodies a criterion for recommending action. Action axioms are of the form "IF a condition holds, THEN the following should be done." Decision theory
Decision theory
Decision theory in economics, psychology, philosophy, mathematics, and statistics is concerned with identifying the values, uncertainties and other issues relevant in a given decision, its rationality, and the resulting optimal decision...
and, hence, decision analysis
Decision analysis
Decision analysis is the discipline comprising the philosophy, theory, methodology, and professional practice necessary to address important decisions in a formal manner...
are based on the maximum expected utility (MEU) action axiom. In general, the principle for action embodied by an action axiom (such as MEU) is highly defensible, and its scope is very broad.
The action-axiom is the basis of praxeology, and it is the basic proposition that all specimens of the species homo sapiens, the homo agens, purposefully utilize means over a period of time in order to achieved desired ends. In Human Action, Mises defined “action” in the sense of the action axiom by elucidating:
"Human action is purposeful behavior. Or we may say: Action is will put into operation and transformed into an agency, is aiming at ends and goals, is the ego's meaningful response to stimuli and to the conditions of its environment, is a person's conscious adjustment to the state of the universe that determines his life. Such paraphrases may clarify the definition given and prevent possible misinterpretations. But the definition itself is adequate and does not need complement of commentary."