The __________________ criterion is preferred by optimistic decision makers.
A)Maximax
B)Maximin
C)Utility theory
D)Risk theory

Question

Quizplus · Accepted Answer

Maximax criterion is preferred by optimistic decision makers because it assumes that the best possible outcome will occur. With this criterion, the decision maker chooses the alternative with the highest possible payoff, leading to the best-case scenario. This approach is suited for optimistic decision makers who are willing to take risks for high return opportunities.

The __________________ Criterion Is Preferred by Optimistic Decision Makers