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Hyperbolic discounting 1:01
A 61-second explainer of Hyperbolic discounting, narrated over the same demo you can try yourself.
Try the interactive Hyperbolic discounting demo
What this video covers
Hyperbolic discounting is the way a reward feels much less valuable the longer you have to wait for it - and not in a steady way, but sharply in the near term. The pull of "now" is so strong that a smaller immediate reward often beats a bigger later one, and our preferences flip depending on whether the wait starts today or far in the future.
Notice the flip: offered money today you grabbed the smaller-sooner option, but when both rewards were far off you were happy to wait for the bigger one - even though the gap was identical. That inconsistency is hyperbolic discounting. The "now" in the first choice was doing all the work, which is exactly the lever behind instant rewards, one-tap buys and "start today" nudges.
