The MCQ is a tool used to elicit individual intertemporal discount rates k, providing a set of alternative choices between lower more immediate amounts of money vs. higher delayed amounts of money. An estimate of the respondent’s discounting rate can be calculated as the geometric mean of the k at indifference between the two questions that reflect when the respondent changes between choosing the delayed reward versus the immediate reward. However sometimes the respondents are not consistent, i.e. they provide multiple switching points. How can you calculate an estimate of k in that cases? Many thanks
I would exclude them. They are not systematically discounting, and might be using some strange choice process, e.g. the want the delayed reward at a certain time because of some life-event, but not before or after. If so, they are incomparable to other participants. However, if the switching points are close (within 20% of delayed reward value), than maybe okay to take average. See http://www.ncbi.nlm.nih.gov/pmc/articles/PMC2765051/
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