David consumes 200 in the current period and 330 in the future period. The real interest rate is 10% per period. David's present value of lifetime consumption is
A. 563.
B. 500.
C. 550.
D. 530.
Answer: B
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(a) money creation and inflation. (b) money creation and deflation. (c) money destruction and inflation. (d) money destruction and deflation.
Adam Smith wrote that a person should never attempt to make at home what it will cost him more to make than to buy
a. True b. False Indicate whether the statement is true or false
In the definition of GDP, the words "total market value" refer to total
A) dollar value at base prices. B) dollar value at current prices. C) subjective value. D) objective value. E) a and d
Elasticity of supply looks at
A. How responsive producers are to a change in quantity demanded. B. The responsiveness of sellers to a change in consumer's incomes. C. How responsive sellers are to a change in price. D. How much quantity demanded changes with a change in price.