Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/267380 
Year of Publication: 
2022
Series/Report no.: 
IZA Discussion Papers No. 15643
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
We explore intertemporal decision-making in later life by looking at temporal preference heterogeneity among older individuals. Using choice tasks responses from Poland collected as part of the Survey of Health, Ageing, and Retirement in Europe (SHARE), we elicit individual time preferences using competing discounting specifications. With the formulation that best fits our data, we examine which individual characteristics drive the estimated heterogeneity in later life time preferences. Individual numerical abilities, labour and marital status, as well as household income turn out to be significant correlates of patience. Our analysis also provides methodological guidance for instrument design with the aim of eliciting time preferences in a general survey setting.
Subjects: 
time preferences
discount rate
present bias
survey methodology
old age
JEL: 
D12
D15
C83
J14
Document Type: 
Working Paper

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