Professor Tima Bansal, executive director of the Network for Business Sustainability, spoke with The Guardian about why organizations and individuals continue to think short term despite warning signs about long-term problems like climate change.
“Individuals have a cognitive bias to instant gratification,” said Bansal. “Organizations, which are theoretically rational, have another mindset. Rational behavior means you would take the discounted future cash flow of your earnings, so you would make the long-term investments.”
