In the decision-theoretic approach to determining a
cutoff score, the cutoff score chosen is that which
maximizes expected utility of pass/fail decisions. This
approach is not without its problems. In this paper
several of these problems are considered: inaccurate
parameter estimates, choice of test model and consequences,
choice of subpopulations, optimal cutoff
scores on various occasions, and cutoff scores as targets.
It is suggested that these problems will need to
be overcome and/or understood more thoroughly before
the full potential of the decision-theoretic approach
can be realized in practice.
De Gruijter, Dato N & Hambleton, Ronald K. (1984). On problems encountered using decision theory to set cutoff scores. Applied Psychological Measurement, 8, 1-8. doi:10.1177/014662168400800101
De Gruijter, Dato N. M.; Hambleton, Ronald K..
On problems encountered using decision theory to set cutoff scores.
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