ECO204 Final Tutorial (2024-2025)

Front

What is the formula for Sharpe Ratio?

Back

Sharpe = RP/σ_p

Front

What is the formula for the MRS?

Back

MRS = -MU1/MU2

Front

Which condition guarantees optimal interior consumption for both goods in the Cobb-Douglas utility maximization?

Back

MRS = P1/P2

Front

What is a dominant strategy in Game Theory?

Back

Always the best choice, regardless of opponent's actions

Front

In Uncertainty, the Risk Discount is:

Back

= EV-CE

Front

The utility functions of risk-averse agents are:

Back

Strictly Concave

Front

The Envelope Theorem is commonly used to:

Back

Calculate MC/MUs directly

Front

If the sum of exponents in a Cobb-Douglas production function α+β=1:

Back

Constant returns to scale

Front

In Uncertainty, the Certainty Equivalent Utility is:

Back

Always = EU for Risk-Averse Agents