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    Microeconomics Theory with Applications
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    Exam 17: Choice Making Under Uncertainty
  5. Question
    In the State Space, Along the 45 Degree Line Where
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In the State Space, Along the 45 Degree Line Where

Question 12

Question 12

Multiple Choice

In the state space, along the 45 degree line where wealth in the two states is the same, the slope of an indifference curve is


A) 1 - q.
B) q(1 - q) .
C) q.
D) q/(1 - q) .

Correct Answer:

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