Consider the following lotteries: L 1 = [1, 1]. L 2 = [0.5, 2; 0.5,

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Consider the following lotteries: 

• L1 = [1, 1]. 

• L2 = [0.5, 2; 0.5, 0]. 

• L3 = [1, 2].

Four students have expressed their preferences over these lotteries as follows: 

• Adam is indifferent between lottery L2 and lottery L1

• Becky prefers lottery L1 to lottery L2

• Charles is indifferent between lottery L3 and lottery L2

• Diana prefers lottery L2 to lottery L1.

Match each student with a utility function that is consistent with their stated preferences. Each student has a different utility function. 

a. Which student has the utility function of U(x) = x2 

b. Which student has the utility function of U(x) = x 

c. Which student has the utility function of U(x) = √ x 

d. Which student has the utility function of none of the ones above

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