If Pearl is a risk averse, then
A) expected utility has nothing to do with her choices.
B) she does not have diminishing marginal utility of wealth.
C) she will not buy insurance.
D) risk is costly to her.
D
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According to research by Stock and Watson, the recent decline in volatility in many macroeconomic variables was a
A) sudden drop that occurred around 1984. B) gradual decline throughout the 1980s. C) sudden drop that occurred around 1990. D) gradual decline throughout the 1990s.
On January 25, 2009, one U.S. dollar traded on the foreign exchange market for about 3.33 Romanian new lei. Therefore, one Romanian new lei would have purchased about ________ U.S. dollars
A) 0.30 B) 1.86 C) 2.86 D) 3.33
Which of the following is not true about income quintiles?
a. Only one in seven households in the bottom quintile has anybody working full time b. Only one in three households in the top quintile has anybody working at all c. A primary contributor to the smaller share of income going to the bottom quintile has been the growth of single-parent households d. Three out of four households in the top quintile have two or more working e. A primary contributor to the larger share of income going to the top quintile has been the growth of two-earner households
Supply-side policy is designed to
A. Shift the production possibilities curve outward and shift the long-run aggregate supply curve to the right. B. Shift the production possibilities curve outward and shift the aggregate supply curve to the left. C. Move the economy from a point inside the production possibilities curve to a point on the curve and shift the aggregate supply curve to the right. D. Move the economy from a point inside the production possibilities curve to a point on the curve and shift the aggregate supply curve to the left.