Impatience, Anticipatory Feelings and Uncertainty: A Dynamic Experiment on Time Preferences
Quaderni DSE Working Paper No. 777
37 Pages Posted: 4 Aug 2011
Date Written: July 22, 2011
We study intertemporal choices through an experiment that elicits a subject's plan and then tracks its implementation over time. There are two main results. When facing a costly task to be completed under a deadline, two thirds of subjects prefer anticipating it rather than postponing it. Choice reversals are common although present-biased preferences alone cannot explain them. This evidence is compatible with models based on anticipatory feelings and stochastic utility.
Keywords: time inconsistency, self-control, risk, stochastic utility, real-effort experiment
JEL Classification: C91, D01, D80, D90
Suggested Citation: Suggested Citation