When agents have present bias, they discount more between now and thenext period than between period t ( 1) and t + 1. How fast the future discount rate (evaluated today) decays is an empirical question. Weshow that the discount function can be non-parametrically identified withcontracts that...

When agents have present bias, they discount more between now and the next period than between period t ( 1) and t 1. How fast the future discount rate (evaluated today) decays is an empirical question. We show that the discount function can be non-parametrically identified with contracts that...