Daniel Bernoulli's resolution to the St. Petersburg Paradox involved introducing this quantity, and exponential models of this concept assume risk is constant.
Daniel Bernoulli's resolution to the St. Petersburg Paradox involved introducing this quantity, and exponential models of this concept assume risk is constant. Kahneman and Tversky developed prospect theory to improve on theories based on the (*) ​"expected" form of this concept. This quantity is constant along an indifference curve, since individuals display no preference between two goods. Rational choice theory assumes that consumers want to maximize this quantity. For 10 points, name this quantity, which measures an individual's satisfaction.
Daniel Bernoulli's resolution to the St. Petersburg Paradox involved introducing this quantity, and exponential models of this concept assume risk is constant.
utility