A person receiving a lump-sum annual transfer is likely to work less than would otherwise be the case.

Question

Quizplus · Accepted Answer

When a person receives a lump-sum annual transfer, it may provide them with a financial cushion that allows them to reduce their work hours or even retire early. This is because they have a guaranteed source of income that can cover their living expenses without having to rely on work. Therefore, they may choose to work less or not at all.

A Person Receiving a Lump-Sum Annual Transfer Is Likely to Work