Economists, psychologists and sociologists have all pointed to the possible
importance of the individual's "time horizon" in determining intertemporal
choices. Those with a relatively high "subjective discount rate"
(Friedman, 1957) are unlikely to be able to "defer gratifications" (Mischel,
1958), and thus will be less likely to save and more likely to incur debt. The
influence of different time horizons on financial choices has been discussed
at least since B6hm-Bawerk (1891) and Weber (1904/1976); Alnslie
(1975,1992) reviews its history and develops its implications in detail.