Multiple Choice
The marginal rate of substitution of current consumption for future consumption is
A) the slope of the indifference curve.
B) minus the slope of the difference curve.
C) the downward slope of the budget constraint.
D) the endowment point.
E) the slope of the lifetime budget constraint.
Correct Answer:

Verified
Correct Answer:
Verified
Q37: The substitution effect of a change in
Q38: Ricardian equivalence suggests that the government must
Q39: For a lender,an increase in the real
Q40: A consumer's budget constraint in the future
Q41: The consumer's lifetime budget constraint states that<br>A)
Q43: Bonds are assumed to trade directly<br>A) through
Q44: For a competitive equilibrium in a two-period
Q45: An important reason why Ricardian equivalence may
Q46: A consumer's budget constraint in the current
Q47: For a borrower,an increase in the real