7.     POSTSCRIPT

The applications of the new information theory show that the theory is more suitable for dealing with what is meant by “information” in common language  , and for optimizing various information processes. However, for optimizing economic forecast, such as the forecast of a stock index, information value may be a better criterion in some cases than information criterion. Recently, the author  found a new generalized entropy that can be applied to optimize portfolio  (Lu, 1997). On the new portfolio theory,  a very practical measure of information value  for a class of cases is defined.,  It promises an increase in capital appreciation because of information.   Since information value, such as the information value of storm forecast is very relative and generally changes from person to person,   information criterion is still proper in many cases.  About information value criterion based on the generalized entropy,  further research is proceeding.      

 Many theories in economics, such as efficient market theory, game theory, rational expectation theory, asymmetric information theory (Sengupta, 1993), are based on information concept. However, the problem remains as how do we measure information and information value in economic fields. It is believed that the information economics, including the  afore mentioned theories, can be  improved with the help of the new information and information value theory.

ACKNOWLEDGMENT

The author gratefully acknowledges guidance from Professors Pei-Zhuang Wang, Cheng-Zhong Luo, and Hong-Xing Li,  Professors  of Fuzzy Mathematics Research group at Beijing Normal University, and editorial assistance  of Dr. Gordon Chen,  at  Niagara College, Canada.

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