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Given these two lottery choices: A: [0.75, $3k; 0.25, $0] B: [1.0, $2k; 0.0, $0] and C: [0.3, $3k; 0.7, $0] D: [0.4, $2k;
Given these two lottery choices: A: [0.75, $3k; 0.25, $0] B: [1.0, $2k; 0.0, $0] and C: [0.3, $3k; 0.7, $0] D: [0.4, $2k; 0.6, $0] People seem to prefer B over A, and C over D What are the implications of this observation? What is the contradiction here? What assumption did you use to arrive at your contradiction?
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
