Question
A consumer is said to be risk averse if the consumer _________ A.prefers to have similar (or same) consumption levels across all future states of
A consumer is said to be risk averse if the consumer _________
A.prefers to have similar (or same) consumption levels across all future states of nature.
B.purchases the assets with zero nominal interest rate.
C.prefers to have a large variation of consumption levels across different states of nature.
D.prefers to hold assets with more non-diversified risk.
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Managerial Economics and Organizational Architecture
Authors: James Brickley, Jerold Zimmerman, Clifford W. Smith Jr
5th edition
73375829, 978-0073375823
