-Adriana Wants to Try Working as an Independent Contractor This

question 33

Multiple Choice

-Adriana wants to try working as an independent contractor this summer. She has a 50 percent chance that she will make $9,000 and 50 percent chance that she will make nothing. Her utility of wealth curve is shown in the figure above. What minimum fixed salary should another employer offer Adriana to persuade her to work for his firm?

• A) $1,001
• B) $2,001
• C) $3,001
• D) $4,501

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Definitions:

Jealousy

An emotion stemming from fear or envy of losing affection or status to a rival.

Oedipus Complex

A Freudian theory proposing a child's unconscious desire for the opposite-sex parent and jealousy toward the same-sex parent.

Erogenous Zones

Specific areas of the human body that have heightened sensitivity, which, when stimulated, can produce a sexual response or pleasure.

Latency Stage

A phase in Freudian psychosexual development occurring from around age six to puberty, characterized by a decrease in overt sexual interests and the development of social and intellectual skills.