A vague theory of choice over time
We propose a novel approach to modelling time preferences, based on a cognitive shortcoming of human decision makers: the perception of future events becomes increasingly `blurred' as the events are pushed further in time. Our model explains behavioural `anomalies' such as preference reversals and cyclical choice.
|Date of creation:||14 Mar 2002|
|Date of revision:||21 Jun 2002|
|Note:||Type of Document - Acrobat PDF; prepared on IBM PC; figures: included|
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