4.4 Use a decision tree to illustrate how a kidney patient would make a decision about whether...

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4.4 Use a decision tree to illustrate how a kidney patient would make a decision about whether to have a transplant operation. The patient currently uses a dialysis machine, which lowers her utility. If the operation is successful, her utility will return to its level before the onset of her kidney problems.

However, if she has the operation, the probability that she will die is 5%. (If it will help, make up utility numbers to illustrate your answer.)

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Microeconomics

ISBN: 9780133456912

7th Edition

Authors: Jeffrey M. Perloff

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