EVALUATING MULTIPLE CRITERIA—MODELS FOR TWO-CRITERIA SITUATIONS

A general procedure is given for evaluating various alternatives (e.g., investments, projects, systems, etc.) involving two criteria of evaluation. The method involves the detailed questioning of decision makers as to preferences between various combinations of pre-selected sets of alternatives under various conditions. From the responses to such questions, a mathematical function which can be applied repeatedly for implementing choices between other alternatives is established. An example of the application of the procedure is given, along with discussion of certain ramifications of the example. In addition to the specific application, potential extensions of the technique are discussed briefly.