31. The "preference drift" means

• A. What people consider "sufficient" income increases with their actual income
• B. Poor people have higher income aspirations relatively to their current income
• C. Rich people have higher income aspirations relatively to their current income
• D. All of the above

32. Research shows that people are the happiest

• A. If they have high income aspirations
• B. If they have low income aspirations
• C. If their income aspirations are significantly above their current income
• D. If their income aspirations are close to their current income

33. After Unification of East Germany with West Germany

• A. East Germans' happiness increased
• B. East Germans' happiness decreased
• C. West German's happiness increased
• D. West German's happiness decreased

34. "Hard work externality" means that

• A. If I work harder and increase my income, I make others less happy
• B. If I work harder and increase my income, I make others more happy
• C. Unemployment benefits make people stay unemployed longer
• D. Hard work is important for happiness

35. People work longer hours in US than in Europe; this can be because

• A. There is a higher reward to working in the US because taxes are lower
• B. The work is more satisfying in the US
• C. The leisure is less satisfying in the US
• D. We are stuck in a bad work/life equilibrium when everyone works more than optimal
• E. All of the above