Intertemporal economics

thumb|403px|right| Saving is income not spent, or deferred consumption. In economics, a broader definition is any income not used for immediate consumption. Saving also involves reducing expenditures, such as recurring costs.

conjecture that there is greater benefit to receiving a sum of money now rather than later

economics valuation

the process by which people make decisions about what and how much to do at various points in time, when choices at one time influence the possibilities available at other points in time

Economic model

intertemporal consumption and saving over the course of their lives

Optimality condition for the rate of change of consumption