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SOLVED: 2 Utility functions need not relate to values. Here is a problem with 5 abstract outcomes, labeled A thru E, with A the most preferred and E the least preferred. The DM has made the following assessments: She is indifferent between having € for sure Or a lottery in which she wins A with prob 5,and E with prob 5. She is indifferent between having B for sure, Or a lottery in which she wins with prob 4,and C with prob .6 She is indifferent between these two lotteries:1.A 50% chance at B and
SOLVED: 2 Utility functions need not relate to values. Here is a problem wi…
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