ECONOMICS AND PSYCHOLOGY IN THE EXPLANATION OF INTERTEMPORAL CHOICE

Roberta Muramatsu () and Patrícia Fonseca ()
Additional contact information
Roberta Muramatsu: Universidade Presbiteriana Mackenzie (UPM); Ibmec
Patrícia Fonseca: Universidade Presbiteriana Mackenzie (UPM)

Revista de Economia Mackenzie (REM), 2008, vol. 6, issue 6, 87-112

Abstract: This paper aims to present and analyze the reformist movement in eco-nomic modeling that serves to better predict patterns of choice over time. Based on a vast literature shedding light on the mutual gains of exchange between economists and psychologists, we argue that behavioral models that replace the constant (exponential) discounting with that of hyperbolic (non-constant) time preference discounting contribute to a better understanding of various intertemporal choice anomalies and eventually pave the way for the explanatory (and predictive) progress of contemporary economic analysis.

Keywords: Intertemporal choice; Psychology; Economics; Anomalies; Hy-perbolic discounting. (search for similar items in EconPapers)
Date: 2008
References: Add references at CitEc
Citations:

Downloads: (external link)
https://editorarevistas.mackenzie.br/index.php/rem/article/view/810/505 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aft:journl:v:6:6:2008:jan:dec:p:87-112

Access Statistics for this article

More articles in Revista de Economia Mackenzie (REM) from Mackenzie Presbyterian University, Social and Applied Sciences Center Contact information at EDIRC.
Bibliographic data for series maintained by Instituto Presbiteriano Mackenzie (IPM) ().