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Y7 . An investor has initial wealth w - 2, and a utility function U(w) = 1 - exp( -Aw). A lottery has a payoff

Y7 . An investor has initial wealth w - 2, and a utility function U(w) = 1 - exp( -Aw). A lottery has a payoff of I with probability p and a payoff of -I with probability (1 - p). (a) Suppose A = 1 ...

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