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Age-Related Differences in Discounting Future Gains and Losses
Journal article

Age-Related Differences in Discounting Future Gains and Losses

Kameko Halfmann, William Hedgcock and Natalie L Denburg
Journal of neuroscience, psychology, and economics, Vol.6(1), pp.42-54
03/2013
DOI: 10.1037/npe0000003
PMCID: PMC4070592
PMID: 24976878
url
https://www.ncbi.nlm.nih.gov/pmc/articles/4070592View
Open Access

Abstract

When asked to choose between immediate versus future gains, individuals tend to fast-track benefits and, congruently, they tend to delay costs. But, despite the ever-increasing importance of the topic, few studies have investigated this behavior among senior citizens. The handful of studies that have been conducted have produced conflicting results and focused on gains as opposed to losses. These conflicting results may in part be due to demographic confounds and the inherent variability that comes with aging. Here, demographic confounds and variability due to aging were minimized by studying three groups: middle-aged, unimpaired older, and impaired older adults. Participants were asked to choose between sooner−smaller and later−larger monetary rewards and losses. Results indicated that impaired older adults discounted the future more than unimpaired older adults. Interestingly, middle-aged adults discounted future gains at a similar rate as impaired older adults, but discounted future losses less than impaired older adults (and similarly to unimpaired older adults). This may suggest that unimpaired older adults have developed a compensatory mechanism that leads to more cautious, patient choices. We discuss these results in the context of the neurobiology and neuropsychology of aging and decision-making.
reward temporal discounting loss aging prefrontal cortex

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