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A simplified prospect theory value function with x representing changes in wealth can be written as follows: V(x)= x/2 V(x) = -2(-x)/2 x20 x
A simplified prospect theory value function with x representing changes in wealth can be written as follows: V(x)= x/2 V(x) = -2(-x)/2 x20 x
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Okay got it Heres the expanded solution a Loss Aversion Loss aversion refers to the tendency of people to strongly prefer avoiding losses to acquiring ...
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Intermediate Microeconomics
Authors: Hal R. Varian
9th edition
978-0393123975, 393123979, 393123960, 978-0393919677, 393919676, 978-0393123968
