Which of the following is an example of the systematic bias of having self-control problems and using hyperbolic discounting?
A) About 80% of the people on an Internet dating site rate their looks as very good or above average.
B) A person decides to save his overtime payment this week, but once he receives the payment, he spends it.
C) A person buys a product because it is listed at 80% off an inflated price.
D) People continue to play golf in a rainstorm because they don't want to waste the money they paid on greens fees.

Question

Quizplus · Accepted Answer

Hyperbolic discounting refers to the tendency for people to increasingly choose a smaller-sooner reward over a larger-later reward as the delay occurs sooner rather than later. This is a form of self-control problem where immediate gratifications are preferred over long-term benefits. In choice B, the person intends to save money (a long-term benefit) but ends up spending it immediately when received (preferring immediate gratification), illustrating hyperbolic discounting and self-control issues.

Which of the Following Is an Example of the Systematic