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Principles of Microeconomics California Edition 2nd Edition
2nd Edition
ISBN: 9780393622089
Author: Dirk Mateer, Lee Coppock
Publisher: W. W. Norton
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Question
Chapter 17, Problem 2QR
To determine
Hot hand fallacy and the Gambler’s fallacy.
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Students have asked these similar questions
One topic of behavioral economics is?
We learned that we can use choice between a gamble over someone's best and worst outcomes and getting an outcome of interest (like getting pizza) for certain as a way to assign numeric values to utility (on a scale of 0 to 1).
Using this method, if you are indifferent between the following:
A gamble that has a 0.3 chance of your best possible outcome (and no lower chance), and a 0.7 chance of your worst possible outcome.
Getting pizza for certain.
it means that your utility for getting pizza is:
In Behavioral Economics, what does it mean to say that people like to “play with the house’s money”? What is wrong with that phrase?
Chapter 17 Solutions
Principles of Microeconomics California Edition 2nd Edition
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