Economist David Laibson suggests that people end up saving less than they wish because of:
A) an increasing marginal propensity to consume over time.
B) the pull of instant gratification.
C) rarely receiving transitory income.
D) unpredictable changes in consumption.

Question

Quizplus · Accepted Answer

Laibson suggests that people have a tendency to prioritize immediate satisfaction over long-term goals, which can lead to lower savings rates.

Economist David Laibson Suggests That People End Up Saving Less