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Reconsider the conditions of Example 4.8.9. This time, s

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Reconsider the conditions of Example 4.8.9. This time, suppose that p0 = 1/2 and U (x) =  x0.9 if x ? 0, x if x < 0. Su

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Reconsider the conditions of Example 4.8.9. This time, suppose that p0 = 1/2 and U (x) =  x0.9 if x ? 0, x if x < 0. Suppose also that P has p.d.f. f (p) = 56p6(1 ? p) for 0 < p < 1. Decide whether or not it is better to abandon the treatment.

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