(4) An electricity company supplies power to consumers in the Eastern region of a country. When the...
Question:
(4) An electricity company supplies power to consumers in the Eastern region of a country. When the demand for power exceeds the capacity of the cheapest generating station a second station is brought ‘on-line.’ One of the company’s managers makes a daily judgment about the probability that the second station will be required at least once in the following day. The records of his judgments are given below for a period of 600 days.
(a) Plot a calibration curve for the manager and interpret the result.
(b) Calculate the manager’s average Brier score.
(c) Suppose that the manager had simply quoted a probability of 0.5 on all 600 days, what would his Brier score have been?
Step by Step Answer:
Decision Analysis For Management Judgment
ISBN: 9781118740736,9781118889251
5th Edition
Authors: Paul Goodwin , George Wright