In economics, hyperbolic discounting is a time-inconsistent model of delay discounting. It is one of the cornerstones of behavioral economics and its brain-basis is actively being studied by neuroeconomics researchers. According to the discounted utility approach, intertemporal choices are no different from other choices, except that some consequences are delayed and hence must be anticipated and discounted (i.e., reweighted to take into account the delay). Given two similar rewards, humans show a preference for one that arrives sooner rather than later.
Lausanne (loʊˈzæn , USalsoloʊˈzɑːn , lɔzan; Losena lɔˈzəna) is the capital and largest city of the Swiss French-speaking canton of Vaud. It is a hilly city situated on the shores of Lake Geneva, about halfway between the Jura Mountains and the Alps, and facing the French town of Évian-les-Bains across the lake. Lausanne is located northeast of Geneva, the nearest major city. The municipality of Lausanne has a population of about 140,000, making it the fourth largest city in Switzerland after Basel, Geneva, and Zurich, with the entire agglomeration area having about 420,000 inhabitants (as of January 2019).
Romanel-sur-Lausanne (ʁɔmanɛl syʁ lɔzan, literally Romanel on Lausanne; Romanél) is a municipality in the canton of Vaud in Switzerland, located in the district of Lausanne. Romanel-sur-Lausanne is first mentioned in 1184 as Romanes. Romanel-sur-Lausanne has an area, , of (depending on calculation method). Of this area, or 59.7% is used for agricultural purposes, while or 3.8% is forested. Of the rest of the land, or 37.8% is settled (buildings or roads). Of the built up area, industrial buildings made up 5.
Lausanne District (District de Lausanne) is a district in the canton of Vaud, Switzerland. The seat of the district is the city of Lausanne. Lausanne has an area, , of . Of this area, or 27.3% is used for agricultural purposes, while or 30.9% is forested. Of the rest of the land, or 41.6% is settled (buildings or roads) and or 0.1% is unproductive land. Lausanne has a population () of . Most of the population () speaks French (159,559 or 79.6%), with German being second most common (8,534 or 4.
In economics exponential discounting is a specific form of the discount function, used in the analysis of choice over time (with or without uncertainty). Formally, exponential discounting occurs when total utility is given by where ct is consumption at time t, is the exponential discount factor, and u is the instantaneous utility function. In continuous time, exponential discounting is given by Exponential discounting implies that the marginal rate of substitution between consumption at any pair of points in time depends only on how far apart those two points are.
