The term time inconsistency is used to describe:
A. a situation in which we regret choices we make simply because of when we made the choice.
B. a situation in which we change our minds about what we want simply because of the timing of the decision.
C. people's inability to correctly predict how their current choices will affect them in the future.
D. people's inability to make choices today that determine their actions in the future.
B. a situation in which we change our minds about what we want simply because of the timing of the decision.
You might also like to view...
Which of the following is NOT an assumption of perfectly competitive markets?
A) many buyers and many sellers B) no restriction on entry C) complete information about prices D) new entrants have higher costs
If an average cost pricing rule is imposed on the natural monopoly in the figure above, then the firm will
A) incur an economic loss. B) make zero economic profit, that is, its owners make a normal profit. C) make an economic profit of $4 million. D) make an economic profit of $9 million.