(with Nikhil Vellodi and Ruqu Wang), November 2022, forthcoming, Journal of the European Economic Association. Online Appendix. This paper has been around for a while… here is an older version with Ruqu.
Summary. We study a model of time preferences in which agents discount both past and future payoffs to obtain their lifetime felicity. Agents derive utility from their current lifetime felicity, as well the anticipated felicity of a distinguished future self. These postulates permit an agent to anticipate future regret in current decisions, and generate a set of novel testable implications in line with empirical evidence.