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Commitment and Self-Control

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  • Jawwad Noor

    (Boston University)

Abstract

The literature on self-control problems has typically concentrated on immediate temptations. This paper studies a Gul and Pesendorfer (2001, 2004) style model in which decision-makers are affected by temptations that lie in the future. While temptation is commonly understood to give rise to a demand for commitment, it is shown that `temptation by future consumption' can induce its absence. The model also exhibits procrastination, provides an alternative to projection bias as an explanation for some experimental results, and can simultaneously account for myopic and hyperopic behavior. The evidence on preference reversals supports temptation by future consumption, and suggests that it may not be restricted to short time horizons.

Suggested Citation

  • Jawwad Noor, 2005. "Commitment and Self-Control," Microeconomics 0509008, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpmi:0509008
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Self-Control; Temptation; Commitment; Preference Reversals; Procrastination;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • D2 - Microeconomics - - Production and Organizations
    • D3 - Microeconomics - - Distribution
    • D4 - Microeconomics - - Market Structure, Pricing, and Design

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