Economics 1st Edition by Dean Karlan,Jonathan Morduch

تمرين 8

You have a friend who runs up a balance on his credit card by buying new furniture to replace the furniture he has. The interest rate on the balance is 15 percent per month. The furniture store offers a layaway plan with monthly payments equivalent to an interest rate of 10 percent per month. Explain to your friend how he could manage his finances more sensibly.