The $\beta$ in the lifetime utility function represents:
A) consumption
B) the level of uncertainty
C) any number greater than one
D) consumer patience
E) life expectancy

Question

Quizplus · Accepted Answer

In the context of lifetime utility functions, $\beta$ typically represents the discount factor, which reflects consumer patience or the degree to which future utility is valued relative to present utility.

The β\betaβ In the Lifetime Utility Function Represents: A) Consumption B) the

The $\beta$ In the Lifetime Utility Function Represents:
A) Consumption
B) the