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Temptation and Revealed Preference

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  • Jawwad Noor

Abstract

Gul and Pesendorfer [9] model the static behavior of an agent who ranks menus prior to the experience of temptation. This paper models the dy- namic behavior of an agent whose ranking of menus itself is subject to temptation. The representation for the agent?s dynamically inconsistent choice behavior views him as possessing a dynamically consistent view of what choices he "should" make (a normative preference) and being tempted by menus that contain tempting alternatives. Foundations for the model re- quire a departure from Gul and Pesendorfer's idea that temptation creates a preference for commitment. Instead, it is hypothesized that distancing an agent from the consequences of his choices separates normative preference and temptation.

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Bibliographic Info

Article provided by Econometric Society in its journal Econometrica.

Volume (Year): 79 (2011)
Issue (Month): 2 (03)
Pages: 601-644

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Handle: RePEc:ecm:emetrp:v:79:y:2011:i:2:p:601-644

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  1. Jawwad Noor, 2005. "Commitment and Self-Control," Microeconomics 0509008, EconWPA.
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Cited by:
  1. Buechel, Berno & Mechtenberg, Lydia & Petersen, Julia, 2014. "Peer Effects and Students’ Self-Control," MPRA Paper 53658, University Library of Munich, Germany.
  2. Cockx, Bart & Ghirelli, Corinna & Van der Linden, Bruno, 2013. "Monitoring Job Search Effort with Hyperbolic Time Preferences and Non-Compliance: A Welfare Analysis," IZA Discussion Papers 7266, Institute for the Study of Labor (IZA).
  3. André Lapied & Thomas Rongiconi, 2013. "Ambiguity as a Source of Temptation: Modeling Unstable Beliefs," Working Papers halshs-00797631, HAL.
  4. Jawwad Noor & Linxia Ren, 2011. "Temptation and Social Preference," Boston University - Department of Economics - Working Papers Series WP2011-040, Boston University - Department of Economics.
  5. Jawwad Noor, 2011. "Removed Preferences," Boston University - Department of Economics - Working Papers Series WP2011-038, Boston University - Department of Economics.
  6. Yusufcan Masatlioglu & Daisuke Nakajima & Erkut Y. Ozbay, 2012. "Revealed Attention," American Economic Review, American Economic Association, vol. 102(5), pages 2183-2205, August.
  7. Cockx, Bart & Ghirelli, Corinna & Van der Linden, Bruno, 2014. "Is it socially efficient to impose job search requirements on unemployed benefit claimants with hyperbolic preferences?," Journal of Public Economics, Elsevier, vol. 113(C), pages 80-95.

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