Measuring Discounting without Measuring Utility
Arthur E. Attema, Han Bleichrodt, Yu Gao, Zhenxing Huang, Peter P. Wakker
American Economic Review · 2016 · Volume 106 · Issue 6
Abstract
We introduce a new method to measure the temporal discounting of money. Unlike preceding methods, our method requires neither knowledge nor measurement of utility. It is easier to implement, clearer to subjects, and requires fewer measurements than existing methods.
Keywords
Design of Experiments: Laboratory, Individual, Consumer Economics: Theory, Consumer Economics: Empirical Analysis, Intertemporal Household Choice, Life Cycle Models and Saving
Enable JavaScript for citation tools and additional paper interactions.