Case 2: Consider the following payoff table: 0.31 4 41 3 11 Trade bill passes Trade bill fails 0.7 sell business Do nothing Increase Promotion Acquire Small Competitor There is a 0.7 probability that the trade bill will pass the Senate. What is the optimal decision based on Minimax? 2 6 1 151 Acquire Small Competitor, Min of Max Regrets = 3 Do nothing, Min of Max Regrets = 4 Acquire Small Competitor, Min of Max Regrets = 4 Do nothing, Min of Max Regrets = 3 Question 4 (1.5 points) Listen What is the optimal decision based on Bayes Rule (Expected Value)? Do nothing, EV=5.2 Acquire Small Competitor. EV=5.4 Do nothing, EV=5.4 Acquire Small Competitor, EV=5.2