Question: Suppose that A > B > C > D and that the utilities of these alternatives satisfy U(A) + U(D) = U(B) + U(C). Is

Suppose that A > B > C > D and that the utilities of these alternatives satisfy U(A) + U(D) = U(B) + U(C). Is it true that U(1/2B + 1/2C) is greater than U(1/2 A + 1/2D) because the former has a smaller variance? Why or why not?

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