The Allocation of Time in Decision-Making

DSpace/Manakin Repository

The Allocation of Time in Decision-Making

Citable link to this page

. . . . . .

Title: The Allocation of Time in Decision-Making
Author: Laibson, David I.; Schuldt, Jonathan P.; Chabris, Christopher F; Morris, Carrie L.; Taubinsky, Dmitry

Note: Order does not necessarily reflect citation order of authors.

Citation: Chabris, Christopher F., David Laibson, Carrie L. Morris, Jonathan P. Schuldt, and Dmitry Taubinsky. 2009. The allocation of time in decision-making. Journal of the European Economic Association 7(2-3): 628-637.
Full Text & Related Files:
Abstract: We study the allocation of time across decision problems. If a decision-maker (1) has noisy estimates of value, (2) improves those estimates the longer he or she analyzes a choice problem, and (3) allocates time optimally, then the decision-maker should spend less time choosing when the difference in value between two options is relatively large. To test this prediction we ask subjects to make 27 binary incentive-compatible intertemporal choices, and measure response time for each decision. Our time allocation model explains 54% of the variance in average decision time. These results support the view that decisionmaking is a cognitively costly activity that uses time as an input allocated according to cost-benefit principles.
Published Version: www.mitpressjournals.org/doi/abs/10.1162/JEEA.2009.7.2-3.628
Other Sources: http://wjh1.wjh.harvard.edu/~cfc/Chabris2008b.pdf
http://econpapers.repec.org/scripts/redir.plex?u=http%3A%2F%2Fwww.mitpressjournals.org%2Fdoi%2Fpdfplus%2F10.1162%2FJEEA.2009.7.2-3.628;h=repec:tpr:jeurec:v:7:y:2009:i:2-3:p:628-637
Terms of Use: This article is made available under the terms and conditions applicable to Open Access Policy Articles, as set forth at http://nrs.harvard.edu/urn-3:HUL.InstRepos:dash.current.terms-of-use#OAP
Citable link to this page: http://nrs.harvard.edu/urn-3:HUL.InstRepos:4481495

Show full Dublin Core record

This item appears in the following Collection(s)

  • FAS Scholarly Articles [7470]
    Peer reviewed scholarly articles from the Faculty of Arts and Sciences of Harvard University
 
 

Search DASH


Advanced Search
 
 

Submitters