Question
3. If the Euler equation did not hold, then: (a) the real interest rate would be zero. (b) a consumer would not spend all her
3. If the Euler equation did not hold, then:
(a) the real interest rate would be zero.
(b) a consumer would not spend all her lifetime wealth.
(c) a consumer could move consumption from the future to the present and increase lifetime
utility.
(d) a consumer could move consumption from the present to the future and increase lifetime
utility.
(e) either (c) or (d).
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Organizational Behavior And Management
Authors: John Ivancevich, Michael Matteson
6th Edition
0072436387, 978-0072436389
