This exercise refers to the utility matrix of Table 6.2. What course of action would be favored by

(a) the maximin criterion,

(b) the maximax criterion, and

(c) the minimax-risk criterion? As part of your answer to (c), make sure to produce the risk-payoff matrix.

Transcribed Image Text:

Table 6.2 Decision under uncertainty 916 S S 1 10 23 ABC