Sunday, February 15, 2009

Influence Diagrams

A Bayesian network is a probabilistic network for reasoning under uncertainty, whereas an influence diagram is a probabilistic network for reasoning about decision making under uncertainty. - Kjaerulff, Uffe; Madsen, Anders

An Influence Diagram consists of observations, decisions, utility functions and a precedence ordering. It extends the Bayesian Network by a sequence of decisions in time, their utility and their costs.

For example the Influence Diagram above shows the utility of treating apple trees under the observation that they lose leaf. This can be because of drought or sickness. If the phenomenon persist until later when the harvesting time gets nearer, we might lose income.
If we want to maximize income, a cure is barly recommended by the Bayesian inference. It will cost us € 80 and give us a gross income of € 176.  We earn € 96 over the € 84 gross for net without treat.
Download a version of the apple tree problem without barren variables leaf' and dry'.
Download GeNie

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