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The Conditions for Dominance Between Alternatives which are Independent Multiplicative Random Variables

Dan Cohen

Operations Research · 1968 · Volume 16 · Issue 3

DOI: 10.1287/opre.16.3.569

Abstract

The conditions for dominance between alternatives that are independent multiplicative random variables have been worked out. For any two alternatives 1 and 2, 1 dominantes 2 if H ( Y 1 ) ≧ E ( Y 2 ), where Y is the yield, H ( Y 1 ) is the harmonic mean 1/ E (1/ Y 1 ), and E ( Y 2 ) is the expectation. This dominance is strengthened when the contribution of other alternatives is increased.

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