Apache Clip #5

  • Clip URL: https://criticalcommons.org/view?m=I3nkrassX
  • Concepts: Intertemporal budget constraint.
  • Background: Adrianna and Segundo discuss how urgent it is to sell their truck for a reasonable price.
  • Question: Do Adrianna and Segundo have other options than selling the truck to make up for the lost income? Explain why when we consider a budget constraint on more than one period, we need to consider an interest rate.