Refer to Figure f.A benefit function,W(F),is plotted in Figure f.The letter A represents:
A) the risk premium of the consumption bundle.
B) the expected utility of the consumption bundle.
C) the certainty equivalent of the consumption bundle.
D) the expected consumption.

Question

Refer to Figure f.A benefit function,W(F),is plotted in Figure f.The letter A represents: 
A) the risk premium of the consumption bundle. 
B) the expected utility of the consumption bundle. 
C) the certainty equivalent of the consumption bundle. 
D) the expected consumption.

Quizplus · Accepted Answer

The Answer of Refer to Figure f.A benefit function,W(F),is plotted in Figure f.The letter A represents: 
A) the risk premium of the consumption bundle. 
B) the expected utility of the consumption bundle. 
C) the certainty equivalent of the consumption bundle. 
D) the expected consumption.

Refer to Figure F