The Highest Value for the Equally Likely Criterion Is __________;

question 42

Multiple Choice

The highest value for the equally likely criterion is __________; this occurs with alternative __________. $$~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~{ \text { States of Nature } } \\\begin{array} { | l | c | c | } \hline \text { Alternatives } & \underline { \mathrm { S } } \underline { 1 } & \underline { \mathrm { S } } 2 \\\hline \text { Option 1 } & \$ 10,000 & \$ 30,000 \\\hline \text { Option 2 } & \$ 5,000 & \$ 45,000 \\\hline \text { Option 3 } & \$ - 4,000 & \$ 60,000 \\\hline\end{array}$$

• A) $20,000; Option 1
• B) $25,000; Option 2
• C) $28,000; Option 3
• D) $32,000; Option 3
• E) $60,000; Option 3

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Definitions:

Labor Force

The total number of people available to work, including both the employed and the unemployed.

Reducing Inequality

Efforts or policies aimed at decreasing income and wealth disparities among individuals or groups.

Personal Capital

Financial assets or investments owned by an individual, contributing to their net worth.

Compensating Differentials

Wage differences across jobs that reflect the desirability of the job attributes, compensating workers for job inconveniences or hazards.