TY - UNPB
T1 - Time preferences and lifetime outcomes
AU - Golsteyn, B.H.H.
AU - Grönqvist, H.
AU - Lindahl, L.
PY - 2013/1/1
Y1 - 2013/1/1
N2 - This paper investigates the relationship between time preferences and lifetime social and economic behavior. We use a Swedish longitudinal dataset that links information from a large survey on children’s time preferences at age 13 to administrative registers spanning over four decades. Our results indicate a substantial adverse relationship between high discount rates and school performance, health, labor supply, and lifetime income. Males and high ability children gain significantly more from being future-oriented. These discrepancies are largest regarding outcomes later in life. We also show that the relationship between time preferences and long-run outcomes operates through early human capital investments.
AB - This paper investigates the relationship between time preferences and lifetime social and economic behavior. We use a Swedish longitudinal dataset that links information from a large survey on children’s time preferences at age 13 to administrative registers spanning over four decades. Our results indicate a substantial adverse relationship between high discount rates and school performance, health, labor supply, and lifetime income. Males and high ability children gain significantly more from being future-oriented. These discrepancies are largest regarding outcomes later in life. We also show that the relationship between time preferences and long-run outcomes operates through early human capital investments.
U2 - 10.26481/umaror.2013019
DO - 10.26481/umaror.2013019
M3 - Working paper
T3 - ROA Research Memoranda
BT - Time preferences and lifetime outcomes
PB - ROA
CY - Maastricht
ER -