Concept · Cognitive Bias: Temporal biases
Time inconsistency (dynamic inconsistency)
Origin: Strotz, 1955-56
Biological Parallel
Squirrels hoard acorns in fall—prioritizing future over present consumption. But in winter, the same squirrels raid their own caches impulsively, reversing preferences. Time inconsistency: preferences shift as rewards approach. Hyperbolic discounting drives the reversal—distant rewards are valued linearly, proximate rewards exponentially. The mechanism: different neural systems value immediate (limbic) vs delayed (prefrontal) rewards. Winter-squirrel and fall-squirrel have conflicting priorities. Evolution didn't resolve the conflict; it created modularity.