A dominant decision is one that has a better payoff than another decision under each state of nature.

Question

Quizplus · Accepted Answer

A dominant decision is the one that provides a better payoff than other decisions, regardless of the state of nature. This means that it has a higher expected value than other decision options under each state of nature. So, it's true that a dominant decision has a better payoff than another decision under each state of nature.

A Dominant Decision Is One That Has a Better Payoff