Multi-attribute target-based utilities and extensions of fuzzy measures

We introduce a formal description of the Target-Based Approach to utility theory for the case of n > 1 attributes and point out the connections with aggregation-based extensions of capacities. Our discussion provides economic interpretations of different concepts of the theory of fuzzy measures. In particular, we analyze the meaning of extensions of capacities based on n-dimensional copulas. The latter describes stochastic dependence for random vectors of interest in the problem. We also trace the connections between the case of {0, 1}-valued capacities and the analysis of "coherent" reliability systems. © 2014 Elsevier B.V. All rights reserved.