Question: A decision-maker's utility function is u(w) = (w^(1) 1) / (1 - ) for w > 0. Find out how their risk preference (seeking, averse,

A decision-maker's utility function is u(w) = (w^(1) 1) / (1 - ) for w > 0.

Find out how their risk preference (seeking, averse, neutral) depends on the value of . You may find L'Hopital's rule helpful.

this is all the data given. Perhaps it means how can change the risk preference when it's a low number, or as it increases.

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