Decision making is a fact of life, both for individuals and for policy makers acting on behalf of society. All decisions result in costs and benefits. The purpose of economic evaluation is to compare these and determine whether the costs of a policy are justified by the benefits. Economic evaluations comprise two steps. First, a
Discounting in Attribution Definition Attribution is the way in which people explain the causes of events or behaviors. At times, individuals must choose among different possible causes as explanations for a particular event or behavior. When people can see more than one reason for something happening, they discount, or minimize, the importance of each reason
Hyperbolic Discounting Definition 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 in time. When offered a larger reward in exchange for waiting a set amount of time, people act less impulsively (i.e., choose to wait) as the