Data is from a special poll conducted by Gallup International Association (GIA) in 56 countries covering over two thirds of the global population (and more than 90% of those countries which are free to conduct and publish opinion research). The poll celebrates GIA’s 75th anniversary.
The respondents were asked to think about their current household income and choose between receiving an extra payment today, equaling their normal monthly income, or receiving an extra payment, equal to twice their monthly income, but in a year. The question refers to a popular notion in psychology and behavioral economics – present bias or our tendency to prefer a smaller immediate prize over a greater prize in the future.
Results
show
a
rather
divided
opinions
around
the
world
–
46%
show
a
present
bias,
while
42%
are
more
prone
to
place
their
future
self
in
greater
importance.
With
immediate
financial
struggles
perhaps
top
of
mind,
people
from
lower
income
countries
seem
more
prone
to
choose
some
reward
now,
despite
it
being
smaller
–
53%
vs.
42%.
The
higher
the
national
income,
the
more
prone
to
express
preferences
towards
a
greater
reward
in
the
future
–
38%
vs.
48%
in
the
wealthiest
countries.
Age
seems
to
have
a
rather
insignificant
effect
on
respondents’
views,
although
younger
generations
seem
a
bit
less
prone
to
exhibiting
present
bias.
Personal
income
and
education
seem
more
defining
in
people’s
attitudes
on
future
wellbeing-present
improving
dilemma.
The
higher
the
income
and
education,
the
lower
present
bias
orientations.
The
regions
of
MENA
and
Latin
America
are
leading
the
present
bias
ranking
–
with
shares
of
over
60%
confirming
they
would
rather
receive
one
monthly
payment
now.
On
the
other
end
of
the
scale
are
the
EU
and
North
America
–
shares
of
around
40%.
Nigeria,
Iraq
and
Pakistan
–
top
the
list
with
76%,
74%
and
69%
–
showing
present
bias.
World’s
richest
and
more
developed
countries
show
least
present
bias
–
16%
in
Sweden,
24%
in
the
Netherlands,
31%
in
Japan.
Of note is the case of the USA and the Russian Federation. People in Russia for instance show a rather small present bias (32%), but also the greatest share of respondents, who cannot choose an option – 48%. The remaining 20% express preferences towards a greater reward in the future. While those in the USA are also among the nations that show a lesser incline towards present bias – 39%, with 48% oriented towards the future (and 14% undecided).
Overall it seems that, together with the answers to the questions “How far is the future?” and “How much do I need the money right now?” uncertainty also defines our reward preferences.
