Time-Preference

Time preference, (or time discounting, delay discounting, temporal discounting, long-term orientation), is a concept developed by difference disciplines including, psychology, economics, macroeconomics, during the early 1900. Is mostly attributed to Irving Fisher (February 27, 1867 – April 29, 1947), he was an American economist and statistician. Fisher explains Time preference as “The Theory of Interest, as Determined by Impatience to Spend Income and Opportunity to Invest It.” or “an index of community’s preference for a dollar of present over a dollar of future income.” In other words is the capacity to delay a instant reward to increase the reward at a later time.