Lecture 2 Utility Function and Price of Risk 资产组合 金融系，研究生课程课件培训讲学.pptVIP

Lecture 2;0. The St. Petersburg Paradox;0.The St. Petersburg Paradox;1、utility function : ;2、How to construct utility function(binominal tree method );2、How to construct utility function(binominal tree method );3、What is Expected Utility?--utility of uncertain;3、What is Expected Utility?;4、 Attitude toward risk : according to utility function ;4、 Attitude toward risk : according to utility function ;4、 Attitude toward risk : according to utility function ;4、 Attitude toward risk : according to utility function ;4、 Attitude toward risk : according to utility function diagram;5、Pricing of risk