Question 5: Suppose that Jennifer evaluates gambles according to prospect theory with a value function that has the three prOperties suggested by Kahneman 85 Tversky but with 1T(p) : p. On the other hand, Bruce evaluates gambles according to prospect theory with a value function that has the three preperties suggested by Kahneman & Tversky and with a probability weighting function that has the preperties of subcertainty, subprOportionality, and overweighting of small probabilities. (a) If Jennifer chooses lottery ($7000, .1; $0, .9) over lottery ($3000, .2; $0, .8), could she also choose lottery ($3000, .8; $0, .2) over lottery ($7000, .4; $0, .6)? Could Bruce exhibit that pattern of choices? Explain your answers. (b) If Jennifer faces a 60% chance of incurring a loss of $2000, would she be willing to purchase full insurance at a premium of $1200? Would Bruce be willing to purchase full insurance at a premium of $1200? Explain your answers. (c) If Jennifer faces a 6% chance of incurring a loss of $20,000, would she be willing to purchase full insurance at a premium of $1200? Would Bruce be willing to purchase full insurance at a premium of $1200? Explain your answers