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Compare and contrast two quantitative tools for decision-making in conditions of certainty
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- Describe and use techniques that apply to decision making under uncertainty.What techniques are used to solve decision-making problems under uncertainty? Which technique results in an optimistic decision? Which technique results in a pessimistic decision?b) What is sensitivity analysis? Why should sensitivity analysis consider all possible consequencesWhose work on decision making received a 2002 Nobel Prize?
- The ongoing COVID-19 pandemic has disrupted both the education and health system in most, if not all, nations in the world. The scarring effects of the pandemic are predicted to be long-lasting, some of which are the fear of learning-loss and lower future earnings for the current students. Provide evidence(s) that support and/or contradict this statement! If such scarring is expected to occur, would the scarring effects would be worse for the developing countries than the developed ones, and whether the effects would be worse for certain groups such as the poor, women, children, etc.!Distinguish between correlation and causation.You must have learned that we cannot be always rational decision maker. Now, Tell us specifically about your experience when you made a nonrational decision making. How does this decision-making align with the satisfying model and the intuition model? (Show an example for both models) Satisficing model Intuition model
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- Economics CHOOSE THE CORRECT ANSWER. Remember that in the equilibrium prediction of an ultimatum game, the Proposer will offer the smallest non-zero amount of money possible. First-year Commerce students were asked to play an Ultimatum game where a choice had to be made over the division of R100. Offers could only be made in R10 increments, and the results of the various offers made are reported in the table below. Amount offered by Proposer RO R10 R20 R30 R40 R50 Proportion rejected 100% 60% 50% 30% 10% 0% What is the equilibrium split of the R100 between the Proposer and the Responder? O A. Proposer: R50, Responder: R50 O B. Proposer: R10, Responder: R90 O C. Proposer: R90, Responder: R10 O D. Proposer: R60, Responder: R40 O E. Proposer: R40, Responder: R60In the field of financial management, it has been observed that there is a trade-off between the rate of return that one earns on investments and the amount of risk that one must bear to earn that return. a) Draw a set of indifference curves between risk and return for a person that is risk-averse (a person that does not like risk).Isabella understands that if she were to play golf, she would be able to spend time outdoors (where she likes to be) with people she enjoys. However, because she has taken golf lessons 10+ times and still cannot hit the golf ball, she does not believe that she can actually play golf. Based on what you know about Expectancy Theory, will she join her friends to play golf this summer? Group of answer choices Yes. Instrumentality and Valence are high. No. Valence is too high. No. Expectancy is low. Yes. Instrumentality is high.