Expected profit under certainty is equal to the expected value of perfect information for all payoff tables.

Question

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Expected profit under certainty refers to the maximum profit that could be achieved if the decision-maker had perfect knowledge of the future. The expected value of perfect information (EVPI), however, measures the difference between the expected profit with perfect information and the expected profit under uncertainty (without perfect information). They are related but not equal concepts.

Expected Profit Under Certainty Is Equal to the Expected Value