Which of the Following Is a Decision-Making Approach That Attempts

question 3

Multiple Choice

Which of the following is a decision-making approach that attempts to find a compromise between the two extremes posed by the pessimistic maximin criterion and the optimistic maximax criterion by applying a certain percentage weight (α) to the most optimistic outcome,and (1-α) to the most pessimistic outcome.

• A)maximax criterion
• B)Laplace criterion
• C)maximin criterion
• D)Hurwicz criterion

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Definitions:

Real Wages

Wages adjusted for inflation, representing the purchasing power of income earned from work.

Fringe Benefit

Additional compensation provided to an employee beyond their regular salary, such as health insurance, pension plans, and paid time off.

Wage Controls

Government-imposed limits on the wages that can be offered or paid to workers within an economy.

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations.