Search Results - subject:": time preference"

Chopra, Felix; Eisenhauer, Philipp; Falk, Armin; … - 2021

Standard consumption utility is linked in time to a consumption event, whereas the timing of prosocial utility flows is ambiguous. Prosocial utility may depend on the actual utility consequences for others – it is consequence-dated – or it may be related to the act of giving and is thus...

Persistent link: https://www.econbiz.de/10013250248

‘Pay-Later’ vs. ‘Pay-as-You-Go’ : Experimental Evidence on Present-Biased Overconsumption and the Importance of Timing

Werthschulte, Madeline - 2021

When consuming goods provided by public utilities, such as telecommunication, water, gas or electricity, the predominant payment scheme is pay-later billing. This paper identiﬁes one potential consequence of pay-later schemes, present-biased overconsumption of the respective good, and tests...

Persistent link: https://www.econbiz.de/10013250266

Variance Discount Rates : What Drives Preferences over Variance Risk?

Koëter, Joren - 2021

I study time-variation in variance discount rates, defined as the expected returns for investing in variance risk. I show that variance discount rates drive a significant fraction of the variation in prices of S&P 500 variance swaps. This analysis offers important insights into preferences of...

Persistent link: https://www.econbiz.de/10013250555

Myopia and Intertemporal Choice

Jin, Miao; Li, Jian; Meng, Juanjuan; Sun, Jinwei - 2021

This paper investigates whether imperfect foresight affects intertemporal choice using three experiments. We study the effects of both exogenously introduced and naturally occurring (i.e., summer vacation) forecasting difficulties, as well as the effects of increasing internal forecasting...

Persistent link: https://www.econbiz.de/10013219343

Intertemporal Trust Game

Zhang, Qing; Li, King King - 2021

We experimentally investigate the effect of timing of implementation of decisions on trust and trustworthiness. In the “Now” treatment, a standard trust game is run and subjects receive payment in the same date of the experiment. In the “Later” treatment, subjects make decisions in the...

Persistent link: https://www.econbiz.de/10013220297

Substitution Over Time : Another Look at Life Cycle Labor Supply

Mulligan, Casey B. - 2021

Most studies of the intertemporal substitution of work use life cycle data and, from those studies, many have concluded that intertemporal labor substitution is unimportant for macroeconomics. This paper takes another look at life cycle data and argues that a consideration of measurement errors,...

Persistent link: https://www.econbiz.de/10013221291

Discount Rate Heterogeneity and Social Security Reform

Samwick, Andrew - 2021

' preferences for consumption. This paper estimates the distribution of rates of time preference from the wealth data in the Survey …

Persistent link: https://www.econbiz.de/10013221293

Temptation and Stochastic Preferences

Palacios-Huerta, Ignacio; Volij, Oscar - 2021

This paper is concerned with the nature of temptation in stochastic choice models. In particular, we study the distinction between the two leading approaches to modeling temptation in the literature (dynamic inconsistency and costly self-control) when preferences are stochastic. We first design...

Persistent link: https://www.econbiz.de/10013221683

The Fisherian Time Preference and the Ebolution of Capital Ownership Patterns in a Global Economy

Fukao, Kyoji; Hamada, Koichi - 2021

Conventionally economic growth theory was based on the assumption of a constant rate of time preference. Uzawa (1968 …) and Obstfeld (~, 1981) introduced the rate of time preference that increases with the utility level. Irving Fisher (The … paper assumes a non-monotonic time preference schedule such that people are more patient at the middle income levels and are …

Persistent link: https://www.econbiz.de/10013221938

Collective Choice with Heterogeneous Time Preferences

Pakhnin, Mikhail - 2021

This paper reviews recent research on the aggregation of heterogeneous time preferences. Main results are illustrated in simple Ramsey models with two or three agents who differ in their discount factors. We employ an intertemporal view on these models and argue that preferences of a decision...

Persistent link: https://www.econbiz.de/10013222212