Suppose a middle-class consumer chooses to buy a new small car instead of a new big car, even though the annual risk of fatality in the small car is larger (3 in 10,000 instead of 2 in 10,000).Suppose the annual car payments for the small car are $400 less than the annual payments for the big car.

On the basis of revealed preference, can we safely conclude that the consumer is willing to pay no more than $400 for a 1 in 10,000 reduction in the risk of fatality?Explain your answer.