%0 Report
        %A Belot, Michèle
%A Kircher, Philipp
%A Muller, Paul
        %T Eliciting Time Preferences When Income and Consumption Vary: Theory, Validation & Application to Job Search
        %D 2021
        %8 2021 Feb
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 14091
        %U https://www.iza.org/index.php/publications/dp14091
        %X We propose a simple method for eliciting individual time preferences without estimating utility functions even in settings where background consumption changes over time. It relies on lottery tickets with high rewards. In a standard intertemporal choice model high rewards decouple lottery choices from variation in background consumption. We validate our elicitation method experimentally on two student samples: one asked in December when their current budget is reduced by extraordinary expenditures for Christmas gifts; the other asked in February when no such extra constraints exist. We illustrate an application of our method with unemployed job seekers which naturally have income/consumption variation.
        %K job search
%K experimental elicitation
%K time preferences
%K hyperbolic discounting