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MENTAL MODEL · M11860

Dutch Book

Dutch Book
StructureHigh supportLogic
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Version 1.0.0 · Updated 2026-07-28

CORE DEFINITION

In decision theory, economics, and probability theory, the Dutch book arguments are a set of results showing that agents must satisfy the axioms of rational choice to avoid a kind of self-contradiction called a Dutch book. A Dutch book, sometimes also called a money pump, is a set of bets that ensures a guaranteed loss, i.e., the gambler will lose money no matter what happens. A set of bets is cal

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Reduce cognitive load

In decision theory, economics, and probability theory, the Dutch book arguments are a set of results showing that agents must satisfy the axioms of rational choice to avoid a kind of self-contradiction.

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Anchor fast decisions

See core definition: a set of contradictory, guaranteed-loss bets. If beliefs do not satisfy the probability axioms, a 'Dutch book' can be constructed to make you lose regardless of the outcome, so rational beliefs must be probabilistically consistent.

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Source support: Explicit

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    en.wikipedia.orghttps://en.wikipedia.org/wiki/Dutch_book_argumentsZH · Explicit
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