Which of the Following Techniques Uses a Hierarchical Arrangement of Criteria

question 40

Multiple Choice

Which of the following techniques uses a hierarchical arrangement of criteria to predict a classification or value?

• A) market-basket analysis
• B) RFM technique
• C) Cooke method
• D) decision tree

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Definitions:

Numeraire

A standard unit of account or measuring stick in economics used to compare the value of various goods or services.

Utility Function

A mathematical tool used in economics to represent a consumer's preference ranking of different bundles of goods.

Pareto Optimal

A state of allocation of resources from which it is impossible to reallocate to make any one individual better off without making at least one individual worse off.

Competitive Equilibrium

A state in markets where supply equals demand, and no participant has an incentive to change their behavior.