If people want to smooth their consumption over time, what will they tend to do when they win the lottery: spend most of it within a year or save most of it for later? A large number of economic an...

If people want to smooth their consumption over time, what will they tend to do when they win the lottery: spend most of it within a year or save most of it for later? A large number of economic an psychological studies demonstrate that people who are impatient in one area of their life tend to be impatient in other areas as well. This isn’t true in every single case, but of course, that doesn’t matter if we’re trying to understan the “typical person.” Based on your general knowledge an educated guessing: a. Who is more likely to smoke: a criminal or a law-abiding citizen? b. Who is more likely to shoot heroin: a person who saves 20 percent of their income or a person who can’t ever find a way to save? c. Who is more likely to have a lot of credit card debt: a smoker or a nonsmoker?