A method for medical screening is adapted to differential item functioning (DIF). Its essential elements are explicit declarations of the level of DIF that is acceptable and of the loss function that quantifies the consequences of the two kinds of inappropriate classification of an item. Instead of a single level and a single function, sets of…

While measurement precision is relatively easy to establish for single tests and assessments, it is much more difficult to determine for decision making with multiple tests on different subjects. This latter is the situation in the system of final examinations for secondary education in the Netherlands and is used as an example in this paper. This…

This paper reviews recent research in the Netherlands on the application of decision theory to test-based decision making about personnel selection and student placement. The review is based on an earlier model proposed for the classification of decision problems, and emphasizes an empirical Bayesian framework. Classification decisions with…