Econometrica, Vol. 22, No. 1. (Jan., 1954), pp. 23-36.
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Fri Nov 30 17:15:43 2007
EXPOSITION OF A NEW THEORY ON THE MEASUREMENT
SINCE mathematicians first began to study the measurement of risk there has been general agreement on the following proposition: Expected values are computed by multiplying each possible gain by the number of ways in which it can occur, and then dividing the sum of these products by the total number of possible cases where, in this theory,