Value of Information Analysis

Probabilistic networks are constructed to support belief update and decision making under uncertainty. A common solution to a belief update problem is the posterior probability distribution over a hypothesis variable given a set of evidence. Similarly, the solution to a decision-making problem is an optimal decision given a set of evidence. When faced with a belief update or decision-making problem, we may have the option to consult additional information sources for further information that may improve the solution. Value of information analysis is a tool for analyzing the potential usefulness of additional information before the information source is consulted.