fsd.test {RSD} | R Documentation |
Compares random prospects by FSD
Description
It compares two random prospects by the first-order stochastic dominance (FSD).
Usage
fsd.test(sd.obj)
Arguments
sd.obj |
StochasticDominance object. |
Details
A prospect dominates when its CDF is below the other one. It means that all element of the CDF vector must be equal or smaller, and at least one element should be smaller for the dominant prospect.
If neither prospect dominates the other by FSD, it returns 0. It means that the CDFs intersect each other.
Value
An integer, indicating the index of the dominant prospect.
Examples
sd = createStochasticDominance(outcome1 = c(1,4,7),
outcome2 = c(2,3,5),
prob1 = c(1/3,1/3,1/3),
prob2 = c(1/6,1/6,2/3))
fsd.test(sd)
[Package RSD version 0.2.0 Index]