Question: Mara makes choices using the following value function under prospect theory: v ( z ) = z 1 2 i f z 0 v (

Mara makes choices using the following value function under prospect theory:
v(z)=z12ifz0
v(z)=-(-z)12ifz0
where z= change in wealth. Is she loss averse?
Mara makes choices using the following value

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