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Question 1: (12 points) Rosalind and Anna are both expected utility maximizers, and they both have a CRRA utility function u(x) = axl-p/(1 - p).

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Question 1: (12 points) Rosalind and Anna are both expected utility maximizers, and they both have a CRRA utility function u(x) = axl-p/(1 - p). If we observe that, when faced with the choice below, Rosalind chooses Lottery A while Anna chooses Lottery B, what can we conclude about who has a larger p? Briefly explain your answer. Lottery A: ( 600 , - ; 300 , ? ) VS. Lottery B: ( 440 , 1 )

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