Frank Forgione Has the Right to Enter a Contest Where

question 21

Multiple Choice

Frank Forgione has the right to enter a contest where he has a 50% chance of winning $50,000 and a 50% chance of losing $0.It costs Frank nothing to enter the contest.If he is willing to give up his right to enter the contest for a sure payment of $25,000, he is ___.

• A)a risk avoider
• B)an optimist
• C)a risk taker
• D)risk neutral (an EMV'er)
• E)a gambler

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Definitions:

Olaudah Equiano

An African writer and abolitionist who wrote an autobiography detailing his experiences as a slave and a free man, which became influential in the abolition movement.

Eighteenth-Century Theme

A reference to culture, society, or historical events characteristic of the 1700s, often highlighting enlightenment, colonial expansion, or early democratic movements.

British Colonies

Territories around the world that were controlled and governed by Britain from the 16th to the mid-20th century, spreading British influence globally.

Chesapeake Slaves

Enslaved individuals in the Chesapeake region of the United States, known for its tobacco plantations, during the colonial and antebellum periods.