Risk Aversion and Risk Taking

Media Type: Lecture Clips Topic: Game Theory, Economic Crisis, Money & Banking, Monetary & Fiscal Policy

This lecture clip illustrates the Allais Paradox and highlights some game theory behind gambling. Dirk asks students to choose between four gambling scenarios and then analyzes classroom responses from a game theoretical perspective, demonstrating preference reversal and illustrating the Allais Paradox in the process.

Your Thoughts
Was this helpful to you?
(11 votes)
Related Content

What People are saying...

Who's Dirk?
More on the man, himself. Meet Dirk
Econ Media Library
Check out multimedia tools, videos and more in our Media Library