==> decision/allais.p <==
The Allais Paradox involves the choice between two alternatives:
A. 89% chance of an unknown amount
10% chance of $1 million
1% chance of $1 million
B. 89% chance of an unknown amount (the same amount as in A)
10% chance of $2.5 million
1% chance of nothing
What is the rational choice? Does this choice remain the same if the
unknown amount is $1 million? If it is nothing?