The Economics of Money, Banking and Financial Markets 4th Edition by Frederic Mishkin

تمرين 11

"Whenever it is snowing when Joe Commuter gets up in the morning, he misjudges how long it will take him to drive to work. Otherwise, his expectations of the driving time are perfectly accurate. Considering that it snows only once everY₁0 years where Joe lives, Joe's expectations are almost always perfectly accurate." Are Joe's expectations optimal? Why or why not?