11 min
The Gift of Bitcoin: Chapter 4 - Bitcoin and Time Preference The Gift of Bitcoin
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- Investing
The marshmallow test teaches us that delayed gratification yields greater rewards.
High time preference behavior focuses on immediate gratification. Low time preference behavior foregoes immediate benefits for increased returns in the future.
The most important decisions for your well-being are the tradeoffs you make with your future self.
A society filled with people exercising low time preference will save for tomorrow, engage in large scale projects, and plan far in advance.
The higher the inflation rate, the more it steers people toward high time preference thinking. Bitcoin is deflationary so it steers people and businesses toward low time preference thinking.
The marshmallow test teaches us that delayed gratification yields greater rewards.
High time preference behavior focuses on immediate gratification. Low time preference behavior foregoes immediate benefits for increased returns in the future.
The most important decisions for your well-being are the tradeoffs you make with your future self.
A society filled with people exercising low time preference will save for tomorrow, engage in large scale projects, and plan far in advance.
The higher the inflation rate, the more it steers people toward high time preference thinking. Bitcoin is deflationary so it steers people and businesses toward low time preference thinking.
11 min