Both Jen and Jack are considering a leisure good, i.e., going to a club with friends. They can do it in
one of four periods, t=0,1,2,3. The instantaneous utilities are the same for both Jen and Jack: u_(0)=
1,u_(1)=(4)/(3),u_(2)=(12)/(5), and u_(3)=(19)/(6). Assume that Jen and Jack have the same eta =(1)/(2) and delta =1,
Jen's hat(eta )=eta =(1)/(2), and Jack's hat(eta )=1, when will Jen go to a club? How about Jack? Does Jen or Jack
pick the best time to go to a club (in terms of utility)?
4. Both Jen and Jack are considering a leisure good, i.e., going to a club with friends. They can do it in one of four periods,t=0,1,2,3.The instantaneous utilities are the same for both Jen and Jack:uo= 1, u1 = 4/3, u = 12/5, and u3 = 19/6. Assume that Jen and Jack have the same = 1/2 and = 1, Jen's = = 1/2, and Jack's = 1, when will Jen go to a club? How about Jack? Does Jen or Jack pick the best time to go to a club(in terms of utility)?