Use Figure 15.2 to answer the following questions.

-According to the utility function in Figure 15.2 above,
A)people's lifetime utility is equal to Use Figure 15.2 to answer the following questions. -According to the utility function in Figure 15.2 above, A)people's lifetime utility is equal to . B)people prefer to consume the average over their lifetime rather than and . C)the utility associated with consuming the average over both periods is greater than the average of and . D) . E)b and c

.
B)people prefer to consume the average over their lifetime rather than Use Figure 15.2 to answer the following questions. -According to the utility function in Figure 15.2 above, A)people's lifetime utility is equal to . B)people prefer to consume the average over their lifetime rather than and . C)the utility associated with consuming the average over both periods is greater than the average of and . D) . E)b and c

and

.
C)the utility associated with consuming the average over both periods is greater than the average of Use Figure 15.2 to answer the following questions. -According to the utility function in Figure 15.2 above, A)people's lifetime utility is equal to . B)people prefer to consume the average over their lifetime rather than and . C)the utility associated with consuming the average over both periods is greater than the average of and . D) . E)b and c

and

.
D)

.
E)b and c

If the Euler Equation Did Not Hold,then

Multiple Choice

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