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Utility Is Not Money

This video presents the same text shown beside it, spoken and on screen. It adds nothing the text does not say.

State

For most agents each additional dollar matters a little less than the one before — the money-to-utility curve bends over, and that curvature makes refusing a fair gamble rational.

Show

A sure 300,000 can outrank a half-chance at a million in utility while losing to it in average dollars.

Watch for

Risk attitude lives inside the utilities — no extra rule is added anywhere.