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Regret Theory Differs from Expected Utility Theory in Which Way

Question 10

Multiple Choice

Regret theory differs from Expected Utility theory in which way?


A) Expected Utility theory assumes the decision-maker is a rational utility maximizer, whereas regret theory does not.
B) Expected Utility Theory assumes risk aversion, not regret aversion.
C) Expected Utility Theory relies on the independence axiom. Regret Theory relaxes the independence axiom.
D) Regret theory is a form of Expected Utility Theory.

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