The Temptation of Now: With Guests Richard Thaler & Angela Duckworth

November 12, 2018
Why is it so tempting to make short-sighted decisions? And what we can do to exert more self-control?

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After you listen

Overvaluing the present at the expense of the future frequently impacts a major retirement decision.

  • Learn more in the next episode of Financial Decoder. Subscribe for free today to get it on November 19.

Overvaluing the present at the expense of the future frequently impacts a major retirement decision.

  • Learn more in the next episode of Financial Decoder. Subscribe for free today to get it on November 19.

In this episode of Choiceology with Katy Milkman, we look at a bias that has an outsized influence on decisions you make in the here and now.

  • The show begins with an experiment that reveals how difficult it is to avoid the temptation of junk food—and how the power of that temptation is affected by time.
  • Then, you'll hear the story of a man who spent his childhood in relative poverty but found himself wealthy beyond his dreams by the time he was a teenager. This unexpected windfall changed his life in an instant. But it ultimately became a painful lesson on the dangers of living only for the present.

You'll also hear from two heavyweights in the world of psychology and economics.

Finally, Katy Milkman offers additional tips to help you avoid the pitfalls of this bias: with behavioral tools such as temptation bundling and commitment devices.

Choiceology is an original podcast from Charles Schwab.

If you enjoy the show, please leave a rating or review on Apple Podcasts.

Learn more about behavioral finance. 

Out of Proportion: With Guests Damon Lesmeister & Kelly Shue

Non-proportional thinking, or focusing on absolute numbers rather than percentages, is just one way we get mixed up when we should be carefully calculating and comparing ratios.

Choiceology's Guide to Nudges

Nudges are small but powerful parts of choice architecture.