Table 27-1
​ $\text { Kevin's Utility Function }$ ​
​
-Refer to Table 27-1

question 22

Multiple Choice

Table 27-1
​
$\text { Kevin's Utility Function }$
$\begin{array} { | c | c | } \hline \begin{array} { c } \text { W ealth } \\\text { (Dollars) }\end{array} & \text { Utility } \\\hline 50,000 & 3,000 \\\hline 51,000 & 3,140 \\\hline 52,000 & 3,266 \\\hline 53,000 & 3,373 \\\hline\end{array}$ ​
​
-Refer to Table 27-1. If Kevin's current wealth is $51,000, then

• A)his gain in utility from gaining $1,000 is greater than his loss in utility from losing $1,000.Kevin is risk averse.
• B)his gain in utility from gaining $1,000 is greater than his loss in utility from losing $1,000.Kevin is not risk averse.
• C)his gain in utility from gaining $1,000 is less than his loss in utility from losing $1,000.Kevin is risk averse.
• D)his gain in utility from gaining $1,000 is less than his loss in utility from losing $1,000.Kevin is not risk averse.

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Definitions:

Fast Pathway

This refers to a rapid neural response mechanism, often discussed in the context of pain perception, where sensory information bypasses slower processing routes to elicit quick reactions.

Slow Pathway

A term often used in cardiac electrophysiology to refer to a conduction pathway in the heart that has a slower impulse transmission.

Vestibular Sense

The sensory system that contributes to balance and spatial orientation by detecting motion and gravity.

Kinesthetic Sense

The sense of body position and movement, allowing individuals to coordinate their movements accurately.