Choice under uncertainty: previous year questions
Asked 5 times in 2 exams across 2 years. Newest first.
Practise Choice under uncertainty, easy to hard →
- IIT JAM 2022 Q51An individual faces wealth Rs. 10 lakh with probability 0.75 and Rs. 7 lakh with probability 0.25. With utility U(w) = w³, the individual will buy…
- GATE 2021 Q13Piku faces a lottery with outcomes of ₹24, ₹12, ₹48 and ₹6 given by the following probability distribution | Lottery Outcome | ₹24 | ₹12 | ₹48 | ₹6…
- GATE 2021 Q16Consider an individual who maximizes her expected utility having Bernoulli utility function u(w)=α-β e^(-rw); w>0 is wealth. The individual displays…
- GATE 2021 Q32Suppose Vijay has purchased a high-speed car worth ₹1000000. During the purchase, an Insurance company has shared the latest available road safety…
- IIT JAM 2021 Q13The utility from wealth is u(w) = √w. An individual owns a risky asset that is equally likely to yield Rs. 400 or Rs. 900. The risk premium of the…