| Article ID: | iaor199267 |
| Country: | United States |
| Volume: | 37 |
| Issue: | 6 |
| Start Page Number: | 745 |
| End Page Number: | 747 |
| Publication Date: | Jun 1991 |
| Journal: | Management Science |
| Authors: | Levy Haim |
| Keywords: | statistics: decision |
The mean-variance (M-V) rule may lead to paradoxical results which may be resolved by employing the mean coefficient of variation (M-C) rule. It is shown that the M-C rule constitutes an optimal decision rule for lognormal distributions.