Time-inconsistency

Time-inconsistency refers to the tendency of people's preferences or decisions to change over time in a way that contradicts their earlier intentions. For example, someone may plan to save money for the future but, when the time comes to make a choice, they might opt to spend it instead. This occurs because immediate rewards often feel more appealing than long-term benefits. Time-inconsistency highlights how our decision-making can be influenced by the present moment, leading to actions that don’t align with our long-term goals. Understanding this concept can help individuals make better choices aligned with their future objectives.