Question: Question 2 [15 points] Bob's utility function over wealth is U (w) 2 '0'5. Calculate Bob's coefficient of absolute risk aversion and his coefficient of
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Question 2 [15 points] Bob's utility function over wealth is U (w) 2 \"'0'5. Calculate Bob's coefficient of absolute risk aversion and his coefficient of relative risk aversion. Does Bob exhibit constant relative risk aversion, decreasing absolute risk aversion, andfor constant absolute risk aversion? Explain. [5 points, 4 for calculations, 1 for explanation] <_>
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