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Suppose there was a game where one had a 50-50 chance of gaining $200 or losing $100. What would most people do? a. Clearly, this
Suppose there was a game where one had a 50-50 chance of gaining $200 or losing $100. What would most people do? a. Clearly, this would be a good bet; as such, most would play. b. It would depend on one's risk aversion such that one would have to be really indifferent about either possibility. c. It would depend on one's risk aversion such that one would have to not be overly troubled by the prospect of losing $100. d. Actually, none of these explanations seem plausible
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