skip to content
Hyperbolic discount functions, undersaving, and savings policy Preview this item
ClosePreview this item
Checking...

Hyperbolic discount functions, undersaving, and savings policy

Author: David I Laibson; National Bureau of Economic Research.
Publisher: Cambridge, MA : National Bureau of Economic Research, [1996]
Series: Working paper series (National Bureau of Economic Research), working paper no. 5635.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
Abstract: Studies of animal and human behavior suggest that discount functions are approximately hyperbolic (Ainslie, 1992). I analyze an economy with complete markets which is populated by hyperbolic consumers. I identify two ways in which this economy can be distinguished from an exponential economy. First, hyperbolic discounting predicts the empirical regularity that the elasticity of intertemporal substitution  Read more...
Rating:

(not yet rated) 0 with reviews - Be the first.

Subjects
More like this

Find a copy in the library

&AllPage.SpinnerRetrieving; Finding libraries that hold this item...

Details

Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: David I Laibson; National Bureau of Economic Research.
OCLC Number: 70065092
Description: 1 online resource (49 pages) : illustrations.
Series Title: Working paper series (National Bureau of Economic Research), working paper no. 5635.
Responsibility: David I. Laibson.

Abstract:

Abstract: Studies of animal and human behavior suggest that discount functions are approximately hyperbolic (Ainslie, 1992). I analyze an economy with complete markets which is populated by hyperbolic consumers. I identify two ways in which this economy can be distinguished from an exponential economy. First, hyperbolic discounting predicts the empirical regularity that the elasticity of intertemporal substitution is less than the inverse of the coefficient of relative risk aversion. Second, hyperbolic discounting explains many features of the policy debate about undersaving. The calibrated hyperbolic economy matches Bernheim's (1994) survey data on self-reported undersaving, and predicts pro-savings government interventions like capital-income subsidies and penalties for early withdrawal from retirement accounts. Hyperbolic consumers are willing to sacrifice 9/10 of a year's worth of income to induce the government to implement optimal revenue-neutral saving incentives.

Reviews

User-contributed reviews
Retrieving GoodReads reviews...
Retrieving DOGObooks reviews...

Tags

Be the first.
Confirm this request

You may have already requested this item. Please select Ok if you would like to proceed with this request anyway.

Linked Data


Primary Entity

<http://www.worldcat.org/oclc/70065092> # Hyperbolic discount functions, undersaving, and savings policy
    a schema:Book, schema:CreativeWork, schema:MediaObject ;
   library:oclcnum "70065092" ;
   library:placeOfPublication <http://experiment.worldcat.org/entity/work/data/39601611#Place/cambridge_ma> ; # Cambridge, MA
   library:placeOfPublication <http://id.loc.gov/vocabulary/countries/mau> ;
   schema:about <http://id.worldcat.org/fast/858328> ; # Choice (Psychology)--Economic aspects
   schema:about <http://id.worldcat.org/fast/1105966> ; # Saving and investment--Government policy
   schema:about <http://experiment.worldcat.org/entity/work/data/39601611#Topic/saving_and_investment_econometric_models> ; # Saving and investment--Econometric models
   schema:about <http://experiment.worldcat.org/entity/work/data/39601611#Topic/saving_and_investment_government_policy> ; # Saving and investment--Government policy
   schema:about <http://experiment.worldcat.org/entity/work/data/39601611#Topic/choice_psychology_economic_aspects> ; # Choice (Psychology)--Economic aspects
   schema:about <http://id.worldcat.org/fast/1105962> ; # Saving and investment--Econometric models
   schema:bookFormat schema:EBook ;
   schema:contributor <http://viaf.org/viaf/135446122> ; # National Bureau of Economic Research.
   schema:creator <http://viaf.org/viaf/67527822> ; # David I. Laibson
   schema:datePublished "1996" ;
   schema:description "Abstract: Studies of animal and human behavior suggest that discount functions are approximately hyperbolic (Ainslie, 1992). I analyze an economy with complete markets which is populated by hyperbolic consumers. I identify two ways in which this economy can be distinguished from an exponential economy. First, hyperbolic discounting predicts the empirical regularity that the elasticity of intertemporal substitution is less than the inverse of the coefficient of relative risk aversion. Second, hyperbolic discounting explains many features of the policy debate about undersaving. The calibrated hyperbolic economy matches Bernheim's (1994) survey data on self-reported undersaving, and predicts pro-savings government interventions like capital-income subsidies and penalties for early withdrawal from retirement accounts. Hyperbolic consumers are willing to sacrifice 9/10 of a year's worth of income to induce the government to implement optimal revenue-neutral saving incentives."@en ;
   schema:exampleOfWork <http://worldcat.org/entity/work/id/39601611> ;
   schema:inLanguage "en" ;
   schema:isPartOf <http://experiment.worldcat.org/entity/work/data/39601611#Series/nber_working_paper_series> ; # NBER working paper series ;
   schema:isPartOf <http://experiment.worldcat.org/entity/work/data/39601611#Series/working_paper_series_national_bureau_of_economic_research> ; # Working paper series (National Bureau of Economic Research) ;
   schema:name "Hyperbolic discount functions, undersaving, and savings policy"@en ;
   schema:productID "70065092" ;
   schema:publication <http://www.worldcat.org/title/-/oclc/70065092#PublicationEvent/cambridge_ma_national_bureau_of_economic_research_1996> ;
   schema:publisher <http://experiment.worldcat.org/entity/work/data/39601611#Agent/national_bureau_of_economic_research> ; # National Bureau of Economic Research
   schema:url <http://papers.nber.org/> ;
   schema:url <http://papers.nber.org/papers/w5635> ;
   wdrs:describedby <http://www.worldcat.org/title/-/oclc/70065092> ;
    .


Related Entities

<http://experiment.worldcat.org/entity/work/data/39601611#Agent/national_bureau_of_economic_research> # National Bureau of Economic Research
    a bgn:Agent ;
   schema:name "National Bureau of Economic Research" ;
    .

<http://experiment.worldcat.org/entity/work/data/39601611#Series/nber_working_paper_series> # NBER working paper series ;
    a bgn:PublicationSeries ;
   schema:hasPart <http://www.worldcat.org/oclc/70065092> ; # Hyperbolic discount functions, undersaving, and savings policy
   schema:name "NBER working paper series ;" ;
    .

<http://experiment.worldcat.org/entity/work/data/39601611#Series/working_paper_series_national_bureau_of_economic_research> # Working paper series (National Bureau of Economic Research) ;
    a bgn:PublicationSeries ;
   schema:hasPart <http://www.worldcat.org/oclc/70065092> ; # Hyperbolic discount functions, undersaving, and savings policy
   schema:name "Working paper series (National Bureau of Economic Research) ;" ;
    .

<http://experiment.worldcat.org/entity/work/data/39601611#Topic/saving_and_investment_econometric_models> # Saving and investment--Econometric models
    a schema:Intangible ;
   schema:hasPart <http://id.loc.gov/authorities/subjects/sh85117754> ;
   schema:name "Saving and investment--Econometric models"@en ;
    .

<http://id.worldcat.org/fast/1105962> # Saving and investment--Econometric models
    a schema:Intangible ;
   schema:name "Saving and investment--Econometric models"@en ;
    .

<http://id.worldcat.org/fast/1105966> # Saving and investment--Government policy
    a schema:Intangible ;
   schema:name "Saving and investment--Government policy"@en ;
    .

<http://id.worldcat.org/fast/858328> # Choice (Psychology)--Economic aspects
    a schema:Intangible ;
   schema:name "Choice (Psychology)--Economic aspects"@en ;
    .

<http://viaf.org/viaf/135446122> # National Bureau of Economic Research.
    a schema:Organization ;
   schema:name "National Bureau of Economic Research." ;
    .

<http://viaf.org/viaf/67527822> # David I. Laibson
    a schema:Person ;
   schema:familyName "Laibson" ;
   schema:givenName "David I." ;
   schema:name "David I. Laibson" ;
    .


Content-negotiable representations

Close Window

Please sign in to WorldCat 

Don't have an account? You can easily create a free account.