Soran is risk averse. If her wealth rises by $100, her total utility increases by 300. If her wealth increases, her total utility will decrease
A) by more than 300.
B) by less than 300.
C) by 300.
D) by some amount that cannot be determined without more information.
A
Economics
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A monopoly occurs when
A) each of many firms produces a product that is slightly different from that of the other firms. B) one firm sells a good that has no close substitutes and a barrier blocks entry for other firms. C) there are many firms producing the same product. D) a few firms control the market. E) one firm is larger than the many other firms that make an identical product.
Economics
Assume you pay a premium of $0.50/bu for a soybean call option with a strike price of $9.20/bu and that the current futures price is $8.90/bu. What is the option's current intrinsic value?
A. $0.50/bu B. $0.30/bu C. $0/bu D. $-0.50/bu
Economics