There would have to be statements X(n) such that the maximum over E of P(E|The mugger said X(n)) U(E|The mugger said X(n)) is unbounded in n.
Yes, and that is precisely what I said causes vulnerability to Pascal's Mugging and should therefore be forbidden. Does your version of the anti-mugging axiom ensure that no such X exists, and can you prove it mathematically?
It does not ensure that no such X exists, but I think this scenario is outside the scope of your suggestion, which is expressed in terms of P(X) and U(X), rather than conditional probabilities and utilities.
What do you think of the other potential defect in a decision theory resulting from too strong an anti-mugging axiom: the inability to believe in the possibility of a sufficiently large amount of utility, regardless of any evidence?
Related to: Some of the discussion going on here
In the LW version of Pascal's Mugging, a mugger threatens to simulate and torture people unless you hand over your wallet. Here, the problem is decision-theoretic: as long as you precommit to ignore all threats of blackmail and only accept positive-sum trades, the problem disappears.
However, in Nick Bostrom's version of the problem, the mugger claims to have magic powers and will give Pascal an enormous reward the following day if Pascal gives his money to the mugger. Because the utility promised by the mugger so large, it outweighs Pascal's probability that he is telling the truth. From Bostrom's essay:
As a result, says Bostrom, there is nothing from rationally preventing Pascal from taking the mugger's offer even though it seems intuitively unwise. Unlike the LW version, in this version the problem is epistemic and cannot be solved as easily.
Peter Baumann suggests that this isn't really a problem because Pascal's probability that the mugger is honest should scale with the amount of utility he is being promised. However, as we see in the excerpt above, this isn't always the case because the mugger is using the same mechanism to procure the utility, and our so our belief will be based on the probability that the mugger has access to this mechanism (in this case, magic), not the amount of utility he promises to give. As a result, I believe Baumann's solution to be false.
So, my question is this: is it possible to defuse Bostrom's formulation of Pascal's Mugging? That is, can we solve Pascal's Mugging as an epistemic problem?