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"Hyperbolic discount functions are characterized by a relatively high discount rate over short horizons and a relatively low discount rate over long horizons" (Laibson 1997).We suggest two cognitive procedures where individuals perceive future utility as decreasing at a decreasing rate as a...
Persistent link: https://www.econbiz.de/10011090635
We study the relationship between age and literacy skills in Canada, Norway and the U.S. – countries that represent a wide range of literacy outcomes -- using data from the 1994 and 2003 International Adult Literacy Surveys. In cross-sectional data there is a weak negative partial...
Persistent link: https://www.econbiz.de/10011184399
People who understand self-control problems can devise mechanisms to overcome them.In this paper, we discuss how relationships can help individuals overcome their selfcontrol problems by creating a tradeoff between desired present procrastination and undesired future procrastination.Threatening...
Persistent link: https://www.econbiz.de/10011092398
Cognitive dissonance causes people to rationalize actions that differ from their own preferences.Conformity, on the … consequences of preference dynamic that occur when individuals rationalize their preferences, are conformists and have a minimum … preferences to a greater degree, (2) Individuals' optimal consumption pattern will be unstable and scatter over time, (3) Average …
Persistent link: https://www.econbiz.de/10011092514
Considerable concern has recently been expressed about growing income inequality. Much of the discussion, though, has been in general terms and focused on the U.S. experience. To understand whether and how Canada ought to respond to this development, we need to be clear on the facts. This paper...
Persistent link: https://www.econbiz.de/10011184431
We use a large, rich Canadian micro-level dataset to examine the channels through which family socio-economic status and unobservable characteristics affect children's decisions to drop out of high school. First, we document the strength of observable socio-economic factors: our data suggest...
Persistent link: https://www.econbiz.de/10008509636