Unformatted text preview: A ) = p A 1-(1-p A )(1-p B ) (1-p B ) p A + (1-p A )[ p B p A 1-(1-p A )(1-p B ) + p A (1-p B )] Extra Problem 4 The optimal strategy For the problem is a stopping rule. Under it, the player rejects the frst r-1 prizes (let prize M be the best prize among these r-1 prizes), and then selects the frst subsequent prize that is better than prize M. It can be shown that the optimal strategy lies in this class oF strategies. ±or an arbitrary cuto ↵ point r , the probability 5...
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- Fall '07
- Nobel Prize, Prize, 1 Pa, 1 Pb, 1 PA