So what does it mean that being a whale for a day is 400 orgasms better than a normal day? [...] What it means is that I’d be indifferent between a normal day with a 1⁄400 chance of being a whale, and a normal day with guaranteed extra orgasm.
It does not work like that for risk-averse people. Instead, you’d compare 400 guaranteed O-days to 1 W-day. If you want to introduce uncertainty, you have to include a term for disutility of risk, which differs between people who agree on 400 O = 1 W. I am not sure how this term looks, but it’s unquestionably there. Looking forward to the post where you discuss it.
It does not work like that for risk-averse people. Instead, you’d compare 400 guaranteed O-days to 1 W-day. If you want to introduce uncertainty, you have to include a term for disutility of risk, which differs between people who agree on 400 O = 1 W. I am not sure how this term looks, but it’s unquestionably there. Looking forward to the post where you discuss it.