School Seminars and Colloquia

What exactly is wrong with Info-Gap? A Decision Theoretic Perspective

Colloquium

by Dr. Moshe Sniedovich


Institution: The University of Melbourne
Date: Wed 1st August 2007
Time: 11:00 AM
Location: Russell Love Theatre, Richard Berry Building, Uni of Melb

Abstract: Info-Gap is a relatively young theory for decision-making under severe uncertainty which has already gained a following in Australia. Its claim to fame is that it is new and radically different from all current theories for decision making under uncertainty in that its uncertainty model is probability-free.


In this presentation we show that this is not so. In particular, we formally show that Info-Gap's generic decision model is neither new nor radically different. In fact, it is a simple instance of none other than the most famous model in classical decision-making under severe uncertainty, namely Wald's [1945] Maximin model.


Furthermore, we show that Info-Gap's uncertainty model is fundamentally flawed in that it does not tackle severe uncertainty -- it simply and unceremoniously ignores it.


Other problematic aspects of Info-Gap are also discussed.

For More Information: Felisa Vázquez-Abad vazquez@ms.unimelb.edu.au

Colloquium Website