Figure 5.3 shows how we can describe one women's preferences toward risk. The curve OE, which gives her utility function, tells us the level of utility(on the vertical axis) that she can attain for each level of income (measured in thousands of dollars on the horizontal axis). The level of utility in creases from 10 to 16 to 18 as income increases from $10,000 to $20,000 to $30,000.