| |
| | Expected Value of Perfect Information (Site not responding. Last check: 2007-10-13) |
 | | The expected value with perfect information is the expected or average return, in the long run, if we have perfect information before a decision has to be made. |
 | | Thus, if we had perfect information, we would expect, on average, a payoff of $100,000 if the decision could be repeated many times. |
 | | The maximum EMV is computed for $40,000, which is the expected outcome without perfect information. |
| www.cs.usask.ca /resources/tutorials/csconcepts/1999_6/Tutorial/Estimation/evpi/evpi_tutorial.html (286 words) |
|