Multiple Choice
Which of the following statements is are false?
A) A risk-averse individual demands a premium for bearing risk.
B) A risk-averse individual prefers a certain amount to a gamble with the same expected value.
C) A risk-averse individual has a convex utility function.
D) All of the above.
E) None of the above.
Correct Answer:
Verified
Correct Answer:
Verified
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