If You Have a High Rate of Time Preference, Then

question 190

Multiple Choice

If you have a high rate of time preference, then you are

• A)willing to wait a longer time to consume a good than someone with a low rate of time preference.
• B)not willing to wait a long time to consume a good.
• C)willing to save your earnings so that you can buy more goods in the future.
• D)not acting rationally, because it means that you are willing to delay consumption of goods and services until a later date (but you might not be around to do so).
• E)a and c

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Definitions:

Burritos

A type of Mexican food consisting of a wheat flour tortilla wrapped or folded into a cylindrical shape to fully enclose the filling.

Marginal Revenue

The additional income earned from selling one more unit of a good or service; it's the change in total revenue divided by the change in the quantity sold.

Burritos

A type of Mexican and Tex-Mex cuisine that consists of a wheat flour tortilla wrapped or folded into a cylindrical shape to completely enclose a filling.

Marginal Revenue

The additional income received from selling one more unit of a good or service; it's a critical concept in determining optimal output level.