If it were only ignorance that were the problem, the Government could simply inform people about hyperbolic discounting.

Furthermore, this would be an incredibly broad set of laws: virtually every aspect of our lives is sub-optimal because of hyperbolic discounting. Given that these terms and conditions aren’t even unpopular ex ante, the general application of this principle would permit virtually any legislation to be enacted; and given public choice theory, they probably would be. I’m pretty sure that every lobbying group could pretty quickly translate its grievances into ones about hyperbolic discounting: feminists, environmentalists & religious moralists spring to mind immediately.

Hyperbolic discounting may be a big problem (the big problem?), but even ignoring regulatory capture, I don’t think legislation is the answer.