In terms of decision theory, an occurrence or situation over which the decision maker has no control is called a(n)
A) decision under uncertainty
B) decision tree
C) state of nature
D) alternative
E) none of the above

Question

Quizplus · Accepted Answer

A state of nature refers to a situation or event that is beyond the control of the decision maker, and decision makers can only assign probabilities to different states of nature. The other options, decision under uncertainty, decision tree, and alternative, do not specifically refer to situations outside the control of the decision maker.

In Terms of Decision Theory, an Occurrence or Situation Over