Q5. (Time lotteries) The Expected Discount Utility model combines EU and DU. Consider a lottery p whose outcomes are in fact dated rewards [cl , t1] , [(22, t2] , ..., [Cm tn], received with probabilities p1 , ..., pm respectively. According to the Expected Discounted Utility model, the agent evaluates such a \"temporal lottery\" in terms of the utility function dened by: EDUQJ) = Z: p6t'u(c,:), i=1 told: \"Linda is 31 years old, single, outspoken, and very bright. She majored in philosophy. As a student, she was deeply concerned with issues of discrimination and social justice, and also participated in anti-nuclear demonstrations.\" where u is a utility index and 6 is strictly between 0 and 1. That is, each dated reward is evaluated according to the DU model, and the uncertainty is evaluated according to the EU model. Consider the following temporal lotteries: A: receiving $10 tomorrow. B: 0.5 chance of receiving $10 today, 0.5 chance of receiving $10 day after tomorrow. Experiments have shown that people often exhibit the preference A > B, that is, they dislike uncertainty in the date of receipt of a reward. Can this preference be accommodated by the Expected Discounted Utility model? [A math fact you may nd useful is that for any 6 strictly between 0 and 1, it is always the case that 6