Multiple Choice
If one's indifference curves in a state space graph are convex to the origin, the individual is:
A) risk averse.
B) risk inclined.
C) undecided about their attitude to risk.
D) risk neutral.
Correct Answer:
Verified
Correct Answer:
Verified
Q57: A risk- averse individual will:<br>A)always enter a
Q58: The validity of the expected utility hypothesis
Q59: Benny is a expected utility maximizer with
Q60: If an individual is risk averse, then:<br>A)any
Q61: Risk- pooling:<br>A)is rarely witnessed among close- knit
Q63: Consider these four choices: A. $1,000,000 for
Q64: If a person is risk averse:<br>A)the certainty
Q65: Consumers buy insurance because:<br>A)it increases their expected
Q66: The market for insurance:<br>A)is a risk- pooling
Q67: A card game:<br>A)is characterized by asymmetric information.<br>B)isn't