1. Rice University Darren Homrighausen David Kahle July 29th, 2005
An Investigation into Statistical Tests for Stochastic Dominance with Applications to Economic Decision Theory
Rice University
Darren Homrighausen
David Kahle
July 29th, 2005

2. Overview Stochastic Dominance Applications
Test for Stochastic Dominance
Problems
Simulations and Results
Conclusion

3. Stochastic Dominance Definition (First Order)
A distribution G stochastically dominates a distribution F (denoted
G Â F ) to the first order iff
G(t) < F(t) for all t. 1