Question
When we met William Jaeger, he was trying to decide whether to wait for the storm or to harvest now. Now imagine he knows a
When we met William Jaeger, he was trying to decide whether to wait for the storm or to harvest now. Now imagine he knows a guy in Southern California - the direction from which the storm is coming - who can go check the storm to determine if it is warm or cold. With this information, Jaeger can be certain of whether the storm would produce botrytis or not.However, the guycannotoffer any information on whether the storm will in fact hit Freemark Abbey Wineryi.e., he will remain uncertain about whether the storm will hit or not. How much should he be willing to pay to get his guy to check the temperature of the storm? (Does it change his expected value and, hence, the quality of his decision?).Show your reasoning.
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