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Econ 100A, fall2010, lecture 9
slide# 2
Quiz
Question 1: What is this function,
ܷ
ݔ
ǡݔ
ீ
, called?
A. Utility function over consumption.
B. Von NeumannMorgenstern expected utility function
C. Risk return function
D. Independence function.
ܷ
ݔ
ǡݔ
ீ
ൌ ߜήݑ
ݔ
+ (1 െ ߜሻ ή ݑሺݔ
ீ
)
Econ 100A, fall2010, lecture 9
slide# 3
Quiz
Question 2: What is this underlined function,
ݑሺݔ)
, called?
A. Utility function over consumption.
B. Von NeumannMorgenstern expected utility function
C. Risk return function
D. Independence function.
ܷ
ݔ
ǡݔ
ீ
ൌ ߜήݑ
ݔ
+ (1 െ ߜሻ ή ݑሺݔ
ீ
)
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View Full DocumentEcon 100A, fall2010, lecture 9
slide# 4
Quiz
Question 3: If preferences over risky gambles are rational, what is
the additional property that guarantees there will be a von
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 Fall '08
 Woroch
 Microeconomics, Utility

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