Question 3 A decision maker has a utility function U = VĪ. This decision maker is: O risk-loving. O risk-gaining. O risk-neutral. O risk-averse, Question 4 Given the possible outcomes to a lottery being only the values 2, 6 with equal probabilities, calculate the expected value, variance and standard deviation? O EV = 4, variance = 4, standard deviation = 2 O EV = 3.5, variance = 4, standard deviation = 2 O EV = 4, variance = 16, standard deviation = 4 O EV = 4, variance = 4, standard deviation = 4

Question 3 A decision maker has a utility function U = VĪ. This decision maker is: O risk-loving. O risk-gaining. O risk-neutral. O risk-averse, Question 4 Given the possible outcomes to a lottery being only the values 2, 6 with equal probabilities, calculate the expected value, variance and standard deviation? O EV = 4, variance = 4, standard deviation = 2 O EV = 3.5, variance = 4, standard deviation = 2 O EV = 4, variance = 16, standard deviation = 4 O EV = 4, variance = 4, standard deviation = 4

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter7: Uncertainty

Section: Chapter Questions

Problem 7.8P

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