The Economics of Time: Recap

Practical lessons for valuing and managing your own time, and a summary of the module.

Thinking about time economically can improve everyday decisions.

Practical lessons

Estimate your time’s value before choosing cheaper but slower options.
Count time costs in purchases and commutes.
Consider buying time for chores if it improves well-being.
Watch for sludge and use digital services.
Protect leisure and sleep.

Policy lessons

Infrastructure that saves time has big economic value.
Time use data reveal hidden work and inequality.
Reducing time taxes helps the poor.

Module recap

Time is the ultimate scarce resource.
Economists value time using wages and choices.
Women do far more unpaid work in India.
Time poverty traps people; services give time back.
Queues are a hidden price.
Buying time can raise happiness.
Keynes’s 15-hour week didn’t arrive.
Businesses charge speed premiums.
Time zones affect energy and sleep.
Paperwork imposes time taxes.
Technology’s time savings can shrink.

The commute trade-off

Choosing between a cheaper flat with a 90-minute commute and a costlier one 20 minutes from work, a professional values the saved time and chooses the closer flat.

Thinking money is the only thing to budget

Time budgets matter just as much.

Key takeaways

Value your time in everyday choices.
Count time costs in prices and commutes.
Time-saving infrastructure and fewer time taxes help society.
Time is as important to budget as money.