Imagine a decision task in which you are to choose between two alternatives that involve blindly drawing a single chip from one of two urns, labeled A and B respectively. Both urns contain colored balls. The proportion of the different colors is described below. Also described below are the payoffs from drawing a ball of a specific color from each of the two urns. Your task is to decide from which urn you would draw a ball, urn A or urn B.

Transcribed Image Text:

Urn A Urn B Outcome -$15 Outcome -$15 -$10 $45 Probability 3% Probability 2% 1% 7% 90% Yellow Green Red 1% $30 $45 6% $0 $0 White 90%