Examlex
Cho's family is from Japan. Cho doesn't drink alcohol often, but when she does, her face and chest flush red and she feels really sick to her stomach. She likely has a gene that causes her to produce less ______.
Risk-Averse
A preference for guaranteed outcomes over gambles, even if the gamble might have a higher expected return due to the dislike of uncertainty.
Risk-Neutral
An attitude towards risk wherein the decision-maker is indifferent between different alternatives with the same expected return, disregarding the level of risk associated with each.
Risk-Loving
Describes individuals or entities that have a preference for taking on risk, often in anticipation of higher returns.
Expected Utility
A theory in economics that predicts the choices individuals will make by considering the risks and benefits of their options and selecting the one which offers the most utility.
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