Intertemporal decisions involve economic decisions
A) made within a given period of time.
B) made in between two periods of time.
C) involving tradeoffs across periods of time.
D) that ignore concerns about the future.
E) that are made only once.

Question

Quizplus · Accepted Answer

Intertemporal decisions involve choices that have implications or tradeoffs across different periods of time, such as choosing to save money for retirement or spending money now. These choices require individuals to weigh the benefits and costs of current decisions against the potential benefits and costs in the future, making them inherently intertemporal in nature. Therefore, option C is the correct answer.

Intertemporal Decisions Involve Economic Decisions