createStochasticDominance

It is much easier to use this constructor to create an instance of the
StochasticDominance class. It handles calculation of the cdf and ssd values
in an efficient way.

The Stochastic Dominance (SD) is the classical way of comparing two
random prospects, using their distribution functions. Almost Stochastic
Dominance (ASD) has also been developed to cover the SD failures due to
the extreme utility functions. This package focuses on classical and heuristic methods
for testing the first and second SD and ASD methods given the probability mass
function (PMF) of the random prospects. The goal is to apply these methods
easily, efficiently, and effectively on real-world datasets. For more
details see Hanoch and Levy (1969) <doi:10.2307/2296431>, Leshno and Levy
(2002) <doi:10.1287/mnsc.48.8.1074.169>, and Tzeng et al. (2012)
<doi:10.1287/mnsc.1120.1616>.

Shayan Tohidi

Compares Random Distributions using Stochastic Dominance

Sigurdur Olafsson

createStochasticDominance function

<dl><dt>outcome1, outcome2</dt>
<dd>Numeric vectors. The outcomes corresponding to each
prospect.</dd>
<dt>prob1, prob2</dt>
<dd>Numeric vectors. The probabilities corresponding to each
prospect.</dd></dl>

Arguments

Constructor of StochasticDominance Class — createStochasticDominance

<dl>

<dt>outcome1, outcome2</dt>
<dd>Numeric vectors. The outcomes corresponding to each
prospect.</dd>


<dt>prob1, prob2</dt>
<dd>Numeric vectors. The probabilities corresponding to each
prospect.</dd>

</dl>

createStochasticDominance: Constructor of StochasticDominance Class

Description

Usage

Value

Arguments

See Also

Examples