Read the paper “Risk Aversion and Expected-Utility Theory: A Calibration Theorem” by M. Rabin

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Read the paper “Risk Aversion and Expected-Utility Theory: A Calibration Theorem” by M. Rabin. Don’t worry about the appendix. Provide a summary and a critique of the paper. What is the point the author is trying to make, and what are the main findings? Do you find the arguments convincing? What are the main assumptions behind the arguments? Please limit your response to at most two pages.

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