An individual is on the game show "Squeal or No Squeal" and she has a choice between receiving a certain gain of $100,000 or a 50% chance of winning $200,000 or zero.Which one of the following correctly completes the statement below? If she takes the gamble instead of the certain $100,000 she is acting ____________________.
A) like a person who is risk neutral
B) like a person who is risk averse
C) like a person who is a risk lover
D) irrationally
Correct Answer:
Verified
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