5 - Preference for larger delayed rewards over smaller immediate rewards in development: Prudent temporal discounting

Abstract

Prudent temporal discounting has been conceptualized as a direct indicator of rational thinking in adult samples. The paradigms used to study temporal discounting have used psychophysical methods involving choices between smaller immediate rewards and larger delayed rewards. These paradigms have demonstrated that individuals tend to be more hyperbolic than exponential in their choice patterns on these tasks. That is, most individuals tend to temporally discount the value of delayed rewards too steeply. From the perspective of rational thinking, overriding the salience of the immediate reward in favor of the larger delayed reward requires resistance to miserly information processing. Studies conducted in developmental samples have indicated that older children and youth tend to favor the larger delayed reward over the smaller immediate reward relative to younger children and youth. Individual differences in cognitive abilities, thinking dispositions, knowledge and resistance to miserly information processing are also correlated with prudent temporal discounting in child and youth samples. These findings are consistent with data patterns in adult samples. Prudent temporal discounting is measurable in developmental samples as a measure of rational thinking.