ABSTRACT
Time is important in most economic decisions because the choices we make will have future consequences. Should a person do the shopping today, or tomorrow? Should she buy a new TV, or save for retirement? Should she look for a new job? Should she go to university and get a quali¿ cation? Should she eat healthily and join a gym? The answer to all these questions involves weighing future bene¿ ts and costs with present bene¿ ts and costs. We need to think about how people do that, and that’s the focus of this chapter.
