In decision theory, a decision rule is a function which maps an observation to an appropriate action. Decision rules play an important role in the theory of statistics and economics, and are closely related to the concept of a strategy in game theory.
In order to evaluate the usefulness of a decision rule, it is necessary to have a loss function detailing the outcome of each action under different states.
Read more about Decision Rule: Formal Definition, Examples of Decision Rules, See Also
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