The Concept of Time Preference in Financial Investing Rests on the Belief

question 91

Multiple Choice

The concept of time preference in financial investing rests on the belief that people

• A)are indifferent between present and future consumption.
• B)are patient.
• C)are impatient.
• D)intentionally consume 50 percent of assets in the present and 50 percent in the future.

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Interest Annually

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The interest rate for a loan or investment expressed over a one-year period.