ECO204: Concept Sheet for Test 2
Comment and Disclaimer: The list below is meant to give you an idea of what I think are
important concepts and relationships. This DOES NOT MEAN that all questions on the test will
be drawn directly from this list, nor am I saying that other concepts or relationships not listed
here will not be asked. IT IS NOT COMPLETE! It is merely a study aid, so you are encouraged
to use it if you find is useful; otherwise, please disregard it.
If you don’t know what the answer is to the concepts listed below, use your lecture notes as I
don’t have written solutions prepared for this list. However, I am willing to meet with you during
office hours to go through any questions you may have.
When preparing for the test, you should ask yourself not only what each concept means
independently, but also whether you understand the relationship between individual concepts
listed here. If it helps, ask yourself what types of questions you would put on a test if you were
the one responsible for creating the test questions. You can also use this list to help you identify
which concepts you need the most help on – you should first focus on and spend the most time
on these topics and save the more familiar topics for later.
preferences towards risk
utility functions with res