A person who gets increasing marginal utility as income increases is described as:
A)risk-averse.
B)risk-neutral.
C)risk-loving.
D)risk-gaining.

Question

Quizplus · Accepted Answer

A person who gets increasing marginal utility as income increases is described as risk-loving, as they value income and consumption highly and are more willing to take risks to increase their income. A person who gets increasing marginal utility as income increases is described as risk-loving or risk-seeking. This means they are motivated by the potential for higher returns and are willing to take greater risks to achieve them.

A Person Who Gets Increasing Marginal Utility as Income Increases