Would the rate of interest on saving deposits be an appropriate measure of the rate of time

Question:

Would the rate of interest on saving deposits be an appropriate measure of the rate of time preference to a person who is currently paying an interest rate of 18 percent per annum on an automobile loan? Explain your answer.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Intermediate Microeconomics

ISBN: 9780155414969

1st Edition

Authors: Robert W. Clower, Philip E. Graves

Question Posted: