OK, that makes sense. Though I want to be clear, I don’t think it’s obvious that most people think the costs of learning more about whether far future investment would be a good idea are higher than its benefits, I think most people just don’t think about the issue and aren’t motivated to. So the revealed preference framework is useful, but it tells you more about what motivates people than about what they care about.
OK, that makes sense. Though I want to be clear, I don’t think it’s obvious that most people think the costs of learning more about whether far future investment would be a good idea are higher than its benefits, I think most people just don’t think about the issue and aren’t motivated to. So the revealed preference framework is useful, but it tells you more about what motivates people than about what they care about.