Week # 16-17: Utility under Risk & uncertainty

Anti-trust Policy and regulations. Arrows impossibilities theorem

Concept of expected utility & its theorem. Uniqueness of expected utility function. Affine function

Risk aversion and Risk loving in Risk neutral. Arrow Pratt measure of (absolute) risk aversion. Measurement of risk aversion. Global Risk aversion. Arrow Pratt measure of relative risk.

Download Files

chapter-18-asymmetric-information.docx (0.02 MB )

intermediate-microeconomics-a-modern-approach-7th-ed-h-r-varian-w-w-norton-company-2005-0393927024.pdf (14.72 MB )