Chapter 6

1. Schlaifer (1969).

2. Keeney & Raiffa (1976).

3. Abbas (2010). pp. 62–98.

4. Keeney (1977). pp. 267–310; Kirkwood (1992). pp. 28–39.

5. Keeney & Raiffa (1976).

6. Keeney & Raiffa (1976).

7. Kirkwood (1997).

8. Clemen (1996).

9. Keeney & Raiffa (1976).

10. von Winterfeldt & Edwards (1986).

11. With a specified mid-value of $50 million, the normalized mid-value is ($50M–$0M)/($250M–$0M) = 50/250 = 0.20. For a normalized ­mid-value of 0.20, Figure 3.6 shows that the normalized exponential ­constant is 0.305. Therefore, the exponential constant is 0.305 * ($250M–$0M) = $76.25 million (approx. $75 million).

12. With a specified mid-value of $10 million, the normalized mid-value is ($50M–$10M)/($50M–$0M) = 40/50 = 0.80. For a normalized ...

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