2. (5 pts) The following payoff table represents growth rates associated with 3 possible investments in | ||||||||
stocks, bonds, or bank deposits under various economic growth scenarios. | ||||||||
Growth Rate | ||||||||
Hi Growth | Med Growth | Low Growth | No Growth | |||||
Bonds | 9 | 10 | -1 | 2 | ||||
Stocks | 15 | 9 | 5 | -4 | ||||
Deposits | 6 | 6 | 4 | 4 | ||||
a. Write the best decision using an opportunity loss table and the Minimax Regret Rule. | ||||||||
I need formulas too please.
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