"A discrete decision based upon an input having a continuous range of values cannot be made within a bounded length of time."
But certainly I can make a discrete decision in a constant amount of time, just choose to always go left. I must therefore be missing something here.
The next possibility is that a discrete decision procedure that guarantees success is not possible in an unbounded amount of time. This is more sensible and I think the idea is that there will be some kind of infinite regress. For example a donkey will starve to death if it doesn't eat in exactly 100 seconds. The donkey can choose to walk left X meters, or walk right Y meters to some food.
There are certain values of X and Y where the donkey dies no matter what, if X and Y are sufficiently far away that the donkey can never get to them in 100 seconds then the donkey dies.
There are also certain values of X and Y where the donkey can pick either of them and survive since the donkey can get to X or Y in well less than 100 seconds, so the donkey lives.
The above two scenarios are boundary conditions of sorts, where it's fairly trivial to come to a decision, the principle is about what happens when there is a value of X where it takes almost exactly 100 seconds to get to X, (and assume way more than 100 seconds to get to Y), but in order for the donkey to come to that realization the donkey needs to spend some time thinking about it and by the time the donkey has made a decision the donkey won't have enough time to carry it out. So the donkey has to take into account not only the amount of time to get to X, but also the amount of time it takes to come to a decision to get to X, but that too takes some finite amount of time... so the donkey has to take time to come to a decision about how long it takes to come to a decision to get to X, so on so forth... and you end up with an unbounded amount of time.
I could be way off here but I feel there is some subtlety in the way this principle is described that I'm missing.