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2:49
YouTube
In Case of Econ Struggles
Risk Aversion Explained in 3 Minutes (Concave vs Linear vs Convex Utility)
Risk aversion is one of the most important ideas in economics and finance, but it’s easy to understand once you see it on a graph. In this quick video, we graph three utility functions to show the difference between: • Risk-averse preferences (concave utility) • Risk-neutral preferences (linear utility) • Risk-loving preferences (convex ...
343 views
2 months ago
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In Case of Econ Struggles
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