TIME TO DISCOUNT COVID19
The focus of news about COVID19 has been on changes overnight, because long term success has seemed uncertain. If you don’t have a way of taking future uncertainty into account in present actions the situation could be worrying. The following ways of dealing with uncertainty are commonly used.
- Trust in God assumes divine intervention. I normally use one of the methods below.
- Hypothesising is guesswork made credible by academic qualifications.
- Forecasting is induction that looks for a pattern or trend in past data. An epidemiological model could help.
- Time discounting or net present value is for investors to compare alternatives of delaying expenditure and advancing recovery, to get a high return.
- Expected value analysis calculates the probability-weighted consequences of possible outturns.
- Cost benefit analysis to consider outcome alternatives.
- Flow or optimal experience is an existential psychological response with individual focussing on a personal goal, applying of skills and totally mentally engaging, becoming oblivious of passing time.
Using one of the above techniques could reduce your worries about COVID19.