Why does this imply that the person is risk averse

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In a state-contingent income space, each person's indifference curves are generally bowed in toward the origin. Why does this imply that the person is risk averse?

Reference no: EM131204175

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Why does this imply that the person is risk averse : In a state-contingent income space, each person's indifference curves are generally bowed in toward the origin. Why does this imply that the person is risk averse?

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