A Company Has Designed an Alarm Clock That "Runs and Hides

question 156

Multiple Choice

A company has designed an alarm clock that "runs and hides" after going off, forcing the person to get up and find the alarm clock if he or she wants to shut off the alarm. According to behavioral economists,

• A)it is unlikely to alter people's tendency to shut off the alarm and ultimately oversleep.
• B)the alarm clock keeps people from hitting the snooze button and taking advantage of the availability heuristic.
• C)the alarm clock serves as a precommitment device, helping the user to stick to the originally planned wake-up time.
• D)overconfidence effects will discourage use of such devices.

Discuss the implications of economic growth on the Social Security system's long-term deficit.

Understand the structure and critiques of the Social Security system.

Grasp the concept of opportunity cost and its implications in decision making.

Comprehend how the federal government manages the Social Security Trust Fund and its implications on future economic policies.