Proponents of decision theory make the following fundamental assumptions):
A) the value of various outcomes to the institution can be expressed in terms of a common scale
B) the most generally useful strategy is one which maximizes the average gain or minimizes average loss
C) both a and b
D) neither a nor b

Question

Quizplus · Accepted Answer

Decision theory is based on the premise that outcomes can be quantified on a common scale (assumption A) and that strategies should aim to maximize gain or minimize loss on average (assumption B), making both A and B correct.

Proponents of Decision Theory Make the Following Fundamental Assumptions)