Document Type

Article

Publication Date

April 2005

Abstract

For the two-act linear loss decision problem with normal priors, conditions are derived for which the expected value of perfect information about two independent risks is super-additive in value. Several applications show how a variety of decision problems can reduce to the canonical problem, and how the general results obtained here can be translated simply to prescriptions for specific situations.

Comments

This is a preliminary version of the article. The citation is: Keisler, J. M. (2005), Additivity of Information Value in Two-Act Linear Loss Decisions with Normal Priors. Risk Analysis, 25: 351–359. doi: 10.1111/j.1539-6924.2005.00594.x The final article is available at the following link: http://onlinelibrary.wiley.com/doi/10.1111/j.1539-6924.2005.00594.x/full

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