States of Nature 1 2 3 4 Alternative A 48 52 58 68 Alternative B 40...

Transcribed Image Text:

States of Nature 1 2 3 4 Alternative A 48 52 58 68 Alternative B 40 30 89 135 Alternative C 68 73 65 71 Alternative D -110 -8 135 210 a. Assuming that a maximax strategy is employed, which alternative would be chosen? b. If maximin is to be utilized, which would be chosen? .C. If the states of nature are equally likely, which alternative should be chosen? States of Nature 1 2 3 4 Alternative A 48 52 58 68 Alternative B 40 30 89 135 Alternative C 68 73 65 71 Alternative D -110 -8 135 210 a. Assuming that a maximax strategy is employed, which alternative would be chosen? b. If maximin is to be utilized, which would be chosen? .C. If the states of nature are equally likely, which alternative should be chosen?