题目
题目
单项选择题

Mark has two alternatives. There is a 50 percent chance that he will earn $120,000 if he accepts a government contract. If he decides not to accept the contract and instead continues on his present project, he has an 80 percent chance of earning $100,000. If Mark is a perfectly rational decision maker, which of the following statements is TRUE?

选项
A.A) He will revise his earnings estimate on the government contract to make it more attractive.
B.B) His expected value of continuing on the present project is $80,000.
C.C) He will attempt to satisfice.
D.D) He will accept the government contract.
E.E) He will ignore economic criteria in making his decision.
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标准答案
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思路分析
To evaluate Mark’s decision like a perfectly rational decision maker, start by comparing the expected values of the two options. Option assessment: - Government contract: there is a 50 percent chance of earning $120,000, so the expected value is 0.5 × 120,000 = $60,000. - Present project: there is an 80 percent chance of earning $100,000, so the expected value is 0.8 × 100,000 = $80,000. Now, analyze each option statement: A) H......Login to view full explanation

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