Discussion (Chapter 8): Excel is probably the most popular spreadsheet software for PCs. Why? What can we do with this package that makes it so attractive for modeling efforts?
Questions:
1. How does prescriptive analytics relate to descriptive and predictive analytics?
2. Explain the differences between static and dynamic models. How can one evolve into the other?
3. What is the difference between an optimistic approach and a pessimistic approach to decision making under assumed uncertainty?
4. Explain why solving problems under uncertainty sometimes involves assuming that the problem is to be solved under conditions of risk.
Exercise:
Investigate via a Web search how models and their solutions are used by the U.S. Department of Homeland Security in the “war against terrorism.” Also, investigate how other governments or government agencies are using models in their missions.