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Temptation and Revealed Preference

  • Jawwad Noor

    ()

    (Department of Economics, Boston University)

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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Paper provided by Boston University - Department of Economics in its series Boston University - Department of Economics - Working Papers Series with number WP2010-040.

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Length: 53 pages
Date of creation: Jan 2010
Date of revision:
Handle: RePEc:bos:wpaper:wp2010-040
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  1. Jawwad Noor, 2005. "Commitment and Self-Control," Boston University - Department of Economics - Working Papers Series WP2005-014, Boston University - Department of Economics.
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