Expected value represents the average of all outcomes if one were to undertake the risky event many times over and over again
What will be an ideal response?
True. The expected value is not expected on any one outcome, because it represents the average of many outcomes.
You might also like to view...
Suppose that the price of butter is $3 per pound and the price of margarine is $2 per pound. If the price of butter rises to $3.90 and the price of margarine rises to $2.20, then the absolute price of butter has _______________ and the relative price of butter has _______________
A) risen; fallen B) fallen; risen C) risen; risen D) fallen; fallen
Assuming a firm is selling its output in a purely competitive market, its resource demand curve can be determined by:
A. multiplying total product by product price. B. multiplying marginal product by product price. C. dividing total revenue by marginal product. D. comparing marginal product with various possible input prices.