Which of the following is a decision-making approach a person uses when the negative impact of making the wrong decision is so high that he or she chooses that alternative that guarantees at least the minimum payoff?
A)maximax criterion
B)Laplace criterion
C)maximin criterion
D)minimax regret criterion

Question

Quizplus · Accepted Answer

The maximin criterion is the decision-making approach where the decision-maker evaluates the worst possible outcome of each alternative and then chooses the alternative that offers the best of these worst outcomes. This approach is used when the negative impact of making the wrong decision is very high, ensuring at least the minimum acceptable payoff.

Which of the Following Is a Decision-Making Approach a Person