The preferred criterion in decision making is
A)maximin.
B)maximax.
C)expected monetary value.
D)none of these choices.

Question

Quizplus · Accepted Answer

The preferred criterion in decision making often depends on the context and the decision maker's attitude towards risk. However, expected monetary value (EMV) is a widely accepted criterion for making decisions under uncertainty because it provides a weighted average of all possible outcomes, taking into account both the probabilities and the monetary values of those outcomes. This approach helps in making decisions that are expected to be optimal in the long run.

The Preferred Criterion in Decision Making Is