Pharmaceutical Statistics Using SAS

7.9. Models with Cost Constraints

Traditionally, when normalized designs are discussed, the normalization factor is equal to the number of experiments N; see (7.3). In this section we will consider cost-normalized designs. Each measurement at point X_i is assumed to be associated with a cost c(X_i) and a restriction on the total cost is given by

In this case it is quite natural to normalize the information matrix by the total cost C and introduce

Once the cost function c(X) is defined, we can introduce a cost-based design ξC = {w_i,X_i and use exactly ...