Any risk-averse individual would always (Select all that applies) Group of answer choices a) take a 20% chance at $100 rather than a sure $20. b) take a sure $20 rather than a 20% chance at $100. c) take a sure $2 rather than a 50% chance at $4 and a 50% chance at losing $1. d) take a 50% chance at $5 and a 50% chance at losing $1 rather than a sure $1.

Any risk-averse individual would always (Select all that applies) Group of answer choices a) take a 20% chance at $100 rather than a sure $20. b) take a sure $20 rather than a 20% chance at $100. c) take a sure $2 rather than a 50% chance at $4 and a 50% chance at losing $1. d) take a 50% chance at $5 and a 50% chance at losing $1 rather than a sure $1.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter7: Uncertainty

Section: Chapter Questions

Problem 7.3P

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