In general, someone who values a lottery at LESS than its expected value is
A. risk loving (a.k.a. "risk seeking")
B. risk neutral
C. risk averse (a.k.a. "risk avoiding")
Answer: risk averse (a.k.a. "risk avoiding")
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For prices above the minimum average variable cost, a perfectly competitive firm's supply curve is
A) horizontal at the market price. B) vertical at zero output. C) the same as its marginal cost curve. D) the same as its average variable cost curve.
In general, with a monopolist's outcome, total surplus is:
A. higher than that of a competitive market. B. lower than that of a competitive market. C. the same as that of a competitive market. D. Any of these is possible.
As the unemployment rate rises,
a. real GDP also rises. b. nominal GDP rises. c. the employment rate rises. d. lost national output rises.
Inflation target refers to the commitment of central bankers to keep inflation below a certain rate for the next year or two
Indicate whether the statement is true or false