Risk Aversion Is Best Explained By

question 3

Multiple Choice

Risk aversion is best explained by:

• A)timidness.
• B)increasing marginal utility of wealth.
• C)constant marginal utility of wealth.
• D)decreasing marginal utility of wealth.

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Definitions:

Strait of Gibraltar

A narrow passage of water connecting the Atlantic Ocean to the Mediterranean Sea, bordered by Spain in the north and Morocco in the south.

Atlantic Ocean

The Atlantic Ocean is the second-largest ocean in the world, separating the continents of North America and Europe to the west from Africa and Europe to the east.

Sediment

Particles of rock, soil, or biological origin that are transported and deposited by wind, water, or ice.

Sedimentary Rocks

Rocks formed by the accumulation and cementation of mineral and organic particles on the Earth's surface, often containing fossils.