The Utility Function of a Risk-Averse Person Has a

question 29

Multiple Choice

The utility function of a risk-averse person has a

• A)positive slope and gets steeper as wealth increases.
• B)positive slope but gets flatter as wealth increases.
• C)negative slope but gets steeper as wealth increases.
• D)negative slope and gets flatter as wealth increases.

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Definitions:

Citizens

Individuals who are legally recognized as members of a country, with specific rights and obligations under the country's law.

Governments

Organized systems that establish and enforce laws and policies, typically controlling a state, country, or community.

Career Planning

The ongoing process of managing one's work life, including setting career goals and designing a path towards them.

Long-Term Goals

Objectives or targets that an individual, group, or organization aims to achieve over an extended period, typically exceeding one year.