This setting lets you change the way you view articles. You can choose to have articles open in a dialog window, a new tab, or directly in the same window.
Open in Dialog
Open in New Tab
Open in same window

American Economic Review: Vol. 98 No. 3 (June 2008)

Expand

Quick Tools:

Print Article Summary
Export Citation
Sign up for Email Alerts Follow us on Twitter

Explore:

AER - All Issues

AER Forthcoming Articles

Evolution of Time Preference by Natural Selection: Comment

Article Citation

Robson, Arthur J., and Balazs Szentes. 2008. "Evolution of Time Preference by Natural Selection: Comment." American Economic Review, 98(3): 1178-88.

DOI: 10.1257/aer.98.3.1178

Abstract

We reexamine Alan R. Rogers' (1994) analysis of the biological basis of the rate of time preference. Although his basic insight concerning the derivation of the utility function holds up, the functional form he uses does not generate equilibrium evolutionary behavior. Moreover, Rogers relies upon an interior solution for a particular kind of intergenerational transfer. We show such interior solutions need not generally arise. Hence Rogers most striking prediction, namely that the real interest rate should be about 2 percent per annum, does not follow.

Article Full-Text Access

Full-text Article

Additional Materials

Link to Appendix (120.60 KB)

Authors

Robson, Arthur J. (Simon Fraser U)
Szentes, Balazs (U Chicago)

JEL Classifications

D11: Consumer Economics: Theory
D91: Intertemporal Consumer Choice; Life Cycle Models and Saving


American Economic Review


Quick Tools:

Sign up for Email Alerts

Follow us on Twitter

Subscription Information
(Institutional Administrator Access)

Explore:

AER - All Issues

AER - Forthcoming Articles

Virtual Field Journals


AEA Member Login:


AEAweb | AEA Journals | Contact Us