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Waiting to Choose: The Role of Deliberation in Intertemporal Choice

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  • Alex Imas
  • Michael A. Kuhn
  • Vera Mironova

Abstract

We study the impact of deliberation on intertemporal choices. Using multiple experiments, including a field study in the Democratic Republic of the Congo, we show that the introduction of waiting periods—a policy that temporally separates information about choices from choices themselves—causes substantially less myopic decisions. These results cannot be captured by models of exponential discounting nor present bias. Comparing the effects of waiting periods to making planned choices over future time periods, the former has a larger impact on reducing myopia. Our results highlight the role of deliberation in decision-making and have implications for policy and intervention design.

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  • Alex Imas & Michael A. Kuhn & Vera Mironova, 2022. "Waiting to Choose: The Role of Deliberation in Intertemporal Choice," American Economic Journal: Microeconomics, American Economic Association, vol. 14(3), pages 414-440, August.
    • Handle: RePEc:aea:aejmic:v:14:y:2022:i:3:p:414-40
    DOI: 10.1257/mic.20180233
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    Cited by:

    1. Gabaix, Xavier & Laibson, David, 2017. "Myopia and Discounting," CEPR Discussion Papers 11914, C.E.P.R. Discussion Papers.
    2. Christoph Koenig & David Schindler, 2023. "Impulse Purchases, Gun Ownership, and Homicides: Evidence from a Firearm Demand Shock," The Review of Economics and Statistics, MIT Press, vol. 105(5), pages 1271-1286, September.
    3. Cassar, Lea & Meier, Stephan, 2017. "Intentions for Doing Good Matter for Doing Well: The (Negative) Signaling Value of Prosocial Incentives," IZA Discussion Papers 11203, Institute of Labor Economics (IZA).
    4. Trutmann, Kevin & Heinke, Steve & Rieskamp, Jörg, 2023. "Take your time: How delayed information and restricted decision opportunities improve belief formation in investment decisions," Finance Research Letters, Elsevier, vol. 51(C).
    5. Roberts, Annabelle R. & Fishbach, Ayelet, 2020. "When wanting closure reduces patients’ patience," Organizational Behavior and Human Decision Processes, Elsevier, vol. 161(S), pages 85-94.

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    More about this item

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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