For anyone watching football, being able to predict matches is a key aspect of the hobby. Whether explicitly (e.g. when betting on matches, or deciding on recruitment for an upcoming season), or more implicitly when discussing favourites to win the league in the pub, almost all discussion of the sport on some level require predictions about some set of upcoming games.
The first step of prediction is some form of quantification of ability.
When studying why people make the economic choices they do, we need some way of quantifying the value to the person of the offered choices. For instance, when deciding whether to ride to my office by bike or instead catch the bus, there are myriad factors that my brain feeds into an equation to get two values:
the utility of taking the bus the utility of riding my bike For instance, if it looks like it might rain, I’m more likely to take the bus as getting soaked reduces the utility of cycling to work.