• About Me
  • Research
  • CV
  • Teaching
  • Words to the WHYs
  • About Me
  • Research
  • CV
  • Teaching
  • Words to the WHYs

Words to the WHYs on Healthcare

If issues in health care leave you asking “WHY?,” I invite you to be part of these short, monthly lessons on the fundamentals of healthcare and how the pandemic interacts with these forces.  My goal for these discussions is to sharpen your insight and connect your day-to-day work and/or policy interests to the bigger picture, or at least lessen your frustration! If you have any questions, feel free to email me: daltonc@wfu.edu

Decision Making and 'Distant' Futures: An Irksome Equation

Why is it hard to stick to good choices? 

1. ßothersome ßeta  
Many life-improving decisions involve annoying action today to bring benefits in the future.  A simple way to model these decisions is:Total Happiness = Happiness Today + ß(Happiness Tomorrow)Your total happiness over time depends on today’s actions plus tomorrow’s outcomes.  The irksome piece is ß.  If ß’s value is a fraction (less than 1), then, suddenly, tomorrow becomes less important than today in decision-making.  If ß was really close to 0, say 0.1, then I pretty much only think about today’s happiness!  And now I’m doing ‘one last thing’ rather than going to bed as resolved… 

2. Bring the Future to Today

How to combat this?  One solution is to change the payoff structure of Today.  This is where a binding commitment contract comes into play, such as the app stickK, which donates money to a charity you hate if you don’t make your resolved choice.  Or Pavlock, which literally gives you an electric shock from a wristband for a bad choice! Instead of making Happiness Today smaller via shock therapy, other approaches transfer Tomorrow to Today with rewards. Maybe I need a gold star sticker chart for bedtime…  

3. Knowledge for a better Tomorrow.

Conversely, if Happiness Tomorrow got bigger, then even with irksome ß around, we’d still weigh it strongly in our decisions.  If you thought “obesity epidemic” or “addiction” during this discussion, here’s where education may influence outcomes.  A more accurate understanding of the real values of Happiness Tomorrow may re-align decision equations towards better long-term choices. Earned rewards for good choices accomplish the same future change idea.  Excuse me, I’ve got some sleep research to read over my fancy morning tea…

Editions of "Pandemic Minute" 

  • Missed Visits by Medical Specialty (Jan 2022)
  • Besting Testing (Dec 2021)
  • The Pandemic and Shortages (Nov 2021)
  • Vaccine Boosters (Oct 2021)
  • Infections and Externalities (Sept 2021)

Insurance Series

  • Part I- Why it Exists
  • Part II- Insurer's Perspective
  • Part III- Incentives
  • Part IV- Rising Costs

Decision Making and 'Distant Futures Series

  • Part I- An Irksome Equation

Contact Information
204B Kirby Hall
Department of Economics
Winston-Salem, NC 27109
Phone: (336) 758-4495
Email: daltonc@wfu.edu

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