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4. Anna decides to go to the store to purchase a new television. She is unsure of what the price will be for the television.

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4. Anna decides to go to the store to purchase a new television. She is unsure of what the price will be for the television. She has reference-dependent preferences [with r. = 1 and Pt = 3) and can choose her reference point. She experiences consumption utility over two dimensions, money (C1) and computers [C2], such that m[C1) = 2C; and 1110132] = 100C2. a. Find her willingness to pay using standard economic theory. b. Find her personal equilibriums. c. Find her preferred personal equilibrium

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