The Term "Positive Rate of Time Preference" Suggests That

question 59

Multiple Choice

The term "positive rate of time preference" suggests that

• A)people prefer more time to do something than less time.
• B)people prefer goods to be available at an earlier time period than at a later time period.
• C)some people are irrational because they would rather have something now than wait to consume it later when they can enjoy it more.
• D)interest rates tend to increase over time.
• E)businesses know that if they invest in capital goods, they will earn profits.

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Definitions:

Roediger

Refers to Henry L. Roediger III, an influential cognitive psychologist known for his research on memory, particularly the testing effect and false memories.

Cue Overload

A principle of memory that states a retrieval cue will be most effective when it is highly distinctive and not related to any other target memories.

Distinctive

Having a quality or characteristic that makes something easily identifiable and sets it apart from others.

Mood-dependent Memory Effect

The phenomenon where an individual's current mood affects the recall of memories congruent with that mood.