Explain the meaning that an individual has a positive rate of time preference.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

what is an investment for?

Linear

Suppose that a friend of yours recently opened her own business. She is happy because it generated $25,000 in earnings last year. How can you tell whether this is a good investment?

Answer 2

Question

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Answer 6

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Answer 7

Chapter 29, Problem 1QP

To determine

Explain the meaning that an individual has a positive rate of time preference.

Answer 8

Expert Solution & Answer

Explanation of Solution

Generally, majority of the people greatly prefers the present consumption to the future consumption. This means that the degree of time preference is high for some individuals. For example, majority of the consumers prefer to buy a car today than to purchase a car after 5 years. Therefore, the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability of goods and services.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Ch. 29.1 - Prob. 1ST Ch. 29.1 - Prob. 2ST Ch. 29.1 - Prob. 3ST Ch. 29.1 - Prob. 4ST Ch. 29.2 - Prob. 1ST Ch. 29.2 - Prob. 2ST Ch. 29.2 - Prob. 3ST Ch. 29.4 - Prob. 1ST Ch. 29.4 - Prob. 2ST Ch. 29.4 - Prob. 3ST

Explain the meaning that an individual has a positive rate of time preference.

Solution Summary: The author explains that the positive rate of time preference indicates the preference for earlier availability of goods and services over the later availability.

Explain the meaning that an individual has a positive rate of time preference.

Explanation of Solution

Want to see more full solutions like this?

Chapter 29 Solutions