Video: Your Mind and Your Money – Animal Instincts for Saving and Spending
Excerpt from Transcript (via PBS)
SUSIE GHARIB: American workers say they’re saving less for retirement than they did last year and they blamed it mainly on the economy. But that doesn’t explain why saving for the future is hard for many Americans even in good times. As we continue our series “Your Mind and Your Money,” Dan Grech says the problem may go back to our animal roots.
DAN GRECH, NIGHTLY BUSINESS REPORT CORRESPONDENT: Have you ever wondered why a few animals, like squirrels, save for the future while most other animals only consume for today? And where do we humans fit? Are we more like the squirrels or the tigers?
DAVID LAIBSON, ECONOMICS PROF., HARVARD UNIV.: We care about the future, but we care a lot more about today.
GRECH: David Laibson is an economics professor at Harvard University. He says people want to save, but they push it off.