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Expected Monetary Value
A calculated average of possible outcomes, where each outcome is weighted by its probability of occurrence and its monetary impact.
Optimal Act
The most efficient or effective action to achieve a desired outcome or goal.
Posterior Probabilities
The probabilities that are computed after taking into account known or observed evidence, often used in Bayesian statistics.
Prior Probabilities
Prior probabilities are the initial estimations of the likelihood of an event, based on existing knowledge before any new evidence is taken into account.
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