Question: 2. Suppose that in Example 1.3.5, a new buyer makes a bid and the loss function is changed to 0 a a1 a2 a3 01

 2. Suppose that in Example 1.3.5, a new buyer makes a

bid and the loss function is changed to 0 a a1 a2

2. Suppose that in Example 1.3.5, a new buyer makes a bid and the loss function is changed to 0 a a1 a2 a3 01 0 7 4 02 12 (a) Compute and plot the risk points in this case for each rule 61, ..., 69 of Table 1.3.3. (b) Find the minimax rule among {61, . ..,69}. (c) Find the minimax rule among the randomized rules. (d) Suppose @ has prior 7(01) = 7, T(02) = 1 - y. Find the Bayes rule when (i) y = 0.5 and (ii) y = 0.1. solve only question b and d. You need not consider randomized rules

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