Time Discounting & Present Value: Why is the future worth less?
This video explains time discounting and present value. I answer the question "Why is the future worth less?" and show how economists model that. 0:00 - Intro 0:27 - Thought Experiment 1:43 - Instantaneous Utility 2:11 - Present Value 4:03 - Why do people prefer cake today? 5:45 - Money 9:40 - Why is it Called Present Value? 10:02 - Formula Video on Hyperbolic Discounting: • Time Inconsistency / The Beta-Delta Model ...
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