11. scaling the utility function A seemingly awkward part of using the negative exponential utility function is...
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11. scaling the utility function A seemingly awkward part of using the negative exponential utility function is the fact it is negative. Return to Examples 9.3 and 9.5 but consider a utility function of U(w) = 10−exp(.001w). Determine the expected utility and certainty equivalent for each of the choices.
Explain your findings, relative to the expected utility and certainty equivalents calculated in the original examples.
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