Exponential discounting bias
Autor(a) principal: | |
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Data de Publicação: | 2014 |
Outros Autores: | , |
Tipo de documento: | Artigo |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/10071/8022 |
Resumo: | We address intertemporal utility maximization under a general discount function that nests the exponential discounting and the quasi-hyperbolic discounting cases as particular specifications. The suggested framework intends to capture one important piece of behavioral evidence typically found when addressing the way agents discount the future, namely the evidence pointing to the prevalence of decreasing impatience. Decreasing impatience can be perceived as a bias relatively to what would be a benchmark exponential discounting setting, and is modeled as such. The general discounting framework is used to approach a standard optimal growth model in discrete time. Transitional dynamics and stability properties of the corresponding dynamic setup are studied. An extension of the standard utility maximization model to the case of habit persistence is also considered. |
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Exponential discounting biasIntertemporal preferencesExponential discountingQuasi-hyperbolic discountingOptimal growthHabit persistenceTransitional dynamicsWe address intertemporal utility maximization under a general discount function that nests the exponential discounting and the quasi-hyperbolic discounting cases as particular specifications. The suggested framework intends to capture one important piece of behavioral evidence typically found when addressing the way agents discount the future, namely the evidence pointing to the prevalence of decreasing impatience. Decreasing impatience can be perceived as a bias relatively to what would be a benchmark exponential discounting setting, and is modeled as such. The general discounting framework is used to approach a standard optimal growth model in discrete time. Transitional dynamics and stability properties of the corresponding dynamic setup are studied. An extension of the standard utility maximization model to the case of habit persistence is also considered.Springer Verlag2014-12-03T18:10:19Z2014-01-01T00:00:00Z20142019-03-26T16:37:22Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10071/8022eng0931-865810.1007/s00712-013-0363-3Gomes, O.Ferreira-Lopes, A.Sequeira, T. N.info:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-11-09T17:59:47Zoai:repositorio.iscte-iul.pt:10071/8022Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T22:31:28.637306Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
Exponential discounting bias |
title |
Exponential discounting bias |
spellingShingle |
Exponential discounting bias Gomes, O. Intertemporal preferences Exponential discounting Quasi-hyperbolic discounting Optimal growth Habit persistence Transitional dynamics |
title_short |
Exponential discounting bias |
title_full |
Exponential discounting bias |
title_fullStr |
Exponential discounting bias |
title_full_unstemmed |
Exponential discounting bias |
title_sort |
Exponential discounting bias |
author |
Gomes, O. |
author_facet |
Gomes, O. Ferreira-Lopes, A. Sequeira, T. N. |
author_role |
author |
author2 |
Ferreira-Lopes, A. Sequeira, T. N. |
author2_role |
author author |
dc.contributor.author.fl_str_mv |
Gomes, O. Ferreira-Lopes, A. Sequeira, T. N. |
dc.subject.por.fl_str_mv |
Intertemporal preferences Exponential discounting Quasi-hyperbolic discounting Optimal growth Habit persistence Transitional dynamics |
topic |
Intertemporal preferences Exponential discounting Quasi-hyperbolic discounting Optimal growth Habit persistence Transitional dynamics |
description |
We address intertemporal utility maximization under a general discount function that nests the exponential discounting and the quasi-hyperbolic discounting cases as particular specifications. The suggested framework intends to capture one important piece of behavioral evidence typically found when addressing the way agents discount the future, namely the evidence pointing to the prevalence of decreasing impatience. Decreasing impatience can be perceived as a bias relatively to what would be a benchmark exponential discounting setting, and is modeled as such. The general discounting framework is used to approach a standard optimal growth model in discrete time. Transitional dynamics and stability properties of the corresponding dynamic setup are studied. An extension of the standard utility maximization model to the case of habit persistence is also considered. |
publishDate |
2014 |
dc.date.none.fl_str_mv |
2014-12-03T18:10:19Z 2014-01-01T00:00:00Z 2014 2019-03-26T16:37:22Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
dc.type.driver.fl_str_mv |
info:eu-repo/semantics/article |
format |
article |
status_str |
publishedVersion |
dc.identifier.uri.fl_str_mv |
http://hdl.handle.net/10071/8022 |
url |
http://hdl.handle.net/10071/8022 |
dc.language.iso.fl_str_mv |
eng |
language |
eng |
dc.relation.none.fl_str_mv |
0931-8658 10.1007/s00712-013-0363-3 |
dc.rights.driver.fl_str_mv |
info:eu-repo/semantics/openAccess |
eu_rights_str_mv |
openAccess |
dc.format.none.fl_str_mv |
application/pdf |
dc.publisher.none.fl_str_mv |
Springer Verlag |
publisher.none.fl_str_mv |
Springer Verlag |
dc.source.none.fl_str_mv |
reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
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Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
instacron_str |
RCAAP |
institution |
RCAAP |
reponame_str |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
collection |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
repository.name.fl_str_mv |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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1799134876378595328 |