Question: 4. (10 points) Suppose the utility function 1) : R+ > R is concave. Show that w = a + bv, b > 0 is

4. (10 points) Suppose the utility function 1) : R+ > R is concave. Show that w = a + bv, b > 0 is also a concave function. Remark that the same proof works for the case 1) is strictly concave / convex/ strictly convex. Therefore, positive afne transformations of a utility function will preserve the corresponding risk attitude

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