Longer Question. You are betting before the Canberra Raiders vs Sydney Roosters game. Your initial wealth is W0=1000 . The chance of Raiders winning is 50:50. You can bet at fair odds (payoff equals your betting), taking either side to win, and betting any amount of money you choose. You are an expected utility maximizer, and your utility of consequences depends on your final wealth W and on whether Raiders wins (R) or Roosters wins (S). Specifically, u(x)={u(W,R)=2W1/2u(W,S)=W1/2ifRaiderswinifRoosterswin Find the optimal amount X that you will bet on Raiders to win (if X is negative, you are betting against Raiders). The bet is risky with zero expected payoff, why are you taking the bet? Longer Question. You are betting before the Canberra Raiders vs Sydney Roosters game. Your initial wealth is W0=1000 . The chance of Raiders winning is 50:50. You can bet at fair odds (payoff equals your betting), taking either side to win, and betting any amount of money you choose. You are an expected utility maximizer, and your utility of consequences depends on your final wealth W and on whether Raiders wins (R) or Roosters wins (S). Specifically, u(x)={u(W,R)=2W1/2u(W,S)=W1/2ifRaiderswinifRoosterswin Find the optimal amount X that you will bet on Raiders to win (if X is negative, you are betting against Raiders). The bet is risky with zero expected payoff, why are you taking the bet