Expected utility Proposition 2: U: is the v N-M exp utility function of preference on if and only if 3B>0 and Y, U(L)=BU(L)+r VLEO U(L)is another V N-M expected utility functionExpected utility • Proposition 2: is the v.N-M exp. utility function of preference on if and only if , is another v.N-M expected utility function U :L →  L    = +     0 and , ( ) ( ) U L U L  L L U L( )