A. Gaba et Rl. Winkler, THE IMPACT OF TESTING ERRORS ON VALUE OF INFORMATION - A QUALITY-CONTROL EXAMPLE, Journal of risk and uncertainty, 10(1), 1995, pp. 5-13
In this article, we extend recent work on the inferential impact of er
rors in data to a decision-making setting. In the context of a simple
quality-control example, we illustrate how errors can cause substantia
l reductions in the value of information from a sample and how uncerta
inty about error rates can lead to yet further reductions in EVSI. Mor
eover, we extend the notion of an equivalent error-free sample size (w
hich indicates the reduction in effective sample size due to errors) f
rom an inferential framework to a decision-making framework and find t
hat as uncertainty about error-rate parameters increases, reductions i
n effective sample size are even greater for a decision maker than the
inferential measures suggest.