Now and Later.

Humans most times think of actions only in terms of short-run benefits (the here and now). We make decisions based solely on the returns we’ll get from such a resolution in the now without asking what long-run implications it will have. Don’t mind Keynes who said we’ll all be dead in the long-run. Remember that economics as a way of thinking helps us cone to terms with the consequences of the choices we make.

The actions we take as humans are usually motivated by the rewards we’ll get or not get from taking them. It is rare to find people do things they know won’t bring them any reward. In fact the higher the rewards of an action, the more likely it will be taken and the lower the rewards, the less likely it will be taken. That is, to increase the likelihood that an action will be taken, simply increase the reward (or reduce the cost) obtainable from taking such action. On the other hand, reduce the reward (or increase the cost) obtainable from a course of action and you’ll find people reduce the chances of carrying it out.

It must however be understood that while some actions carry short-run benefits and long-run costs others have short-run costs and long-run benefits. More often than not, we make decisions based on what rewards we’ll get now. It is possible some of us act like this because we have not been trained to think of actions in terms of benefits and costs on the one hand and in terms of long-run and short-run effects on the other.

You might however ask, “how do I know what a short-run or long-run in my circumstance is?” It is not a question with a linear answer. The answer to this question is found in the circumstances surrounding the actions we take or decisions we’ve made.

Five or ten years down the line, would you be better off or worse off being in that relationship you’re in despite the momentary enjoyment you are deriving from it? Five or ten years from now, what career path do you see for yourself given your present engagement? How easy or difficult would it be for you to make a switch to something you think is better some years from now? What will be the effect on your bowel in the morning of that extra bowl of ice cream you want to consume? Outside the context it’s being analyzed, it’s usually difficult to explain the long-run and short-run concepts

While I understand that the exigencies of the present can drive us to take actions without thinking them through, it is important we stop a while and think through the actions we take especially as we know that they’ll have some effects on us beyond now.

I think it will be better to endure the present discomfort of walking on a chosen path which you know will bring you future rewards. What do you think?

I know in the long-run we are not all dead because the long-run is the sum of various short-runs!

Be inspired!

Remain motivated!