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We reconcile �findings from the Multiple Price List method Andersen et al., 2008 and the Convex Time Budget method Andreoni and Sprenger, 2012a that seem to have generated a heated debate in the time preference literature. Specifi�cally, we discuss the claims of Andreoni and Sprenger 2012b that -risk preferences are not time preferences- and assert that this may have been premature given that subsequent fi�ndings from replication and extension studies refute their basic conjecture while another study off�ers an alternative explanation for their results Andersen et al., 2011a. Although the CTB seems to perform better than the MPL method in terms of predictive validity, we also discuss recent econometric issues that question the validity of claims resulting from analysis of CTB data. We also raise an issue with non-EUT explanations of Andreoni and Sprenger-s 2012b results, since the payment mechanism is not incentive compatible if the isolation assumption is not invoked.

Item Type: MPRA Paper -

Original Title: A reconciliation of time preference elicitation methods-

Language: English-

Keywords: Intertemporal choice; discounting; curvature; convex time budget; risk; multiple price list-

Subjects: C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C91 - Laboratory, Individual BehaviorD - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D81 - Criteria for Decision-Making under Risk and UncertaintyD - Microeconomics > D9 - Intertemporal Choice > D91 - Intertemporal Household Choice ; Life Cycle Models and Saving-

Author: Drichoutis, Andreas

Source: https://mpra.ub.uni-muenchen.de/46916/

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