Stochastic Dominance

The analysis of Stochastic Dominance (SD) decision rules is thoroughly explored in this updated edition, highlighting the advantages and disadvantages of each rule. It applies these concepts to diverse fields such as statistics, agriculture, medicine, and investment under uncertainty. Notably, two new chapters introduce asymptotic SD and the relationship between FSD and the maximum geometric mean rule, as well as bivariate SD rules that consider an individual's wealth in relation to their peers. This comprehensive approach enhances understanding of SD's practical applications.