Artificial Intelligence / Unit 7 AI 0358 short lesson, about 20 seconds
Utility Is Not Money
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The idea
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.
In practice
A sure 300,000 can outrank a half-chance at a million in utility while losing to it in average dollars.
Where people slip
Risk attitude lives inside the utilities — no extra rule is added anywhere.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
Builds on
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