Question: With respect to the symmetric quadratic programming specification of a risk problem, it was written: "If the primal objective function is viewed as maximizing expected utility, the results lead to the conclusion that greater expected utility will be obtained if input supplies are stochastic than if they are known with certainty." Using the following information:
compute the expected utility of the symmetric quadratic programming specification and the expected utility of the asymmetric quadratic programming model for the following values of the risk aversion coefficient: φ = 0.08, 0.12, 0.14, 0.18. After solving the eight problems, comment on the statement given in quotation marks.