I argued in section 3.7 that, applying the standard formulation of prospect theory, with = 2.25,

I argued in section 3.7 that, applying the standard formulation of prospect theory, with λ = 2.25, β = 0.88, and γ = 0.61, a person would pay $110 for an extra deductible of $500 if the claim rate was 4 percent. How much would a person be willing to pay to reduce the deductible by $165 if the claim rate is 25 percent? Comment on the numbers in Table 3.18.