Suppose instead that the utility function is u(x) = x 2 . What would Table 8.4 (b) look like, and what would be? Exercise

Suppose instead that the utility function is u(x) = x 2 . What would Table 8.4

(b) look like, and what would δ be?

Exercise 8.24 Youth sports In a 2014 interview, basketball star Kobe Bryant discussed the importance of making sports fun for young people. “It’s hard to tell a kid that you need to get out there and compete because it’s going to decrease your chance of having diabetes 30–40 years from now,” he said. In the language of time discounting, why are young people not motivated by the prospect of being healthy in 30–40 years?