[Sample B: Approval/Signature Sheet] - George Mason University

The lotteries presented to the DM were similar to the ones used to verify additive
independence (see section 3.7). Continuing with the example of the previous section, in
alternative A the DM would get the most preferred level on either A3.4 Payload Weight
or A3.3 Range. Alternative B is the "all or nothing" alternative. The DM would get the
most preferred level on both measures with probability P or the least preferred level on
both measures with probability (1-P). 116
In this particular example, the DM chose Alternative B. Then, he was asked to
establish the probabilities which would make him indifferent between the alternatives. He
decided that P=35%. This value was used by LDW to calculate the parameter k of the
multiplicative utility function. When n > 2, the attributes chosen to compose the lotteries
were the ones with the highest weights. 117
A complete description of the procedure to derive the weight parameters for an
additive as well as for a multiplicative utility function can be found in the work of
Keeney and Raiffa. 118
115
Smith, Logical Decisions - User's Manual, 5-17.
116
Ibid.
117
Elicited from Gary Smith, developer of LDW.
118
Keeney and Raiffa, Decisions with Multiple Objectives.
69