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Ellsberg Paradox
There is one urn with with 300 balls: 100 of these balls are red (R) and the rest are either blue (B) or yellow(Y). Consider the following two choice situations:
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Win $100 if a ball drawn from the urn is R and nothing otherwise.
Win $100 if a ball drawn from the urn is B and nothing otherwise. -
Win $100 if a ball drawn from the urn is R or Y and nothing otherwise.
Win $100 if a ball drawn from the urn is B or Y and nothing otherwise.
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