Intertemporal decision making: A mental load perspective

Abstract

In this paper intertemporal decision making is analysed from a framework that defines the differences in value for decision options at present and future time points in terms of the extra amount of mental burden or work load that is expected to occur when a future option is chosen. It is shown how existing hyperbolic and exponential discounting models for intertemporal decision making both fit in this more general framework. Furthermore, a specific computational model for work load is adopted to derive a new discounting model. It is analysed how this intertemporal decision model relates to the existing hyperbolic and exponential intertemporal decision models. Finally, it is shown how this model relates to a transformation between subjective and objective time experience. © 2013 Springer-Verlag.