Abstract: | One approach to evaluate the relative performance of decision alternatives with respect to multiple criteria is provided by the analytic hierarchy process. The method is based on pairwise comparisons between attributes, and several numerical measurement scales for the ratio statements have been proposed. The choice of measurement scale is re‐examined, and new arguments supporting the measurement scale of geometric progression are derived. Separately from the measurement scale considerations, the effects of the scale parameter in geometric measurement scale are also studied. By using a regression model for pairwise comparisons data, it is shown that the statistical inference does not depend on the value of the scale parameter in the case of a single pairwise comparison matrix. It is also shown when the scale independence of statistical inference can be achieved in a decision hierarchy. This requires the use of the geometric‐mean aggregation rule instead of the traditional arithmetic‐mean aggregation. The results of the case study demonstrate that the measurement scale and the aggregation rule have potentially large impacts on decision support. Copyright © 2000 John Wiley & Sons, Ltd. |