Self-Deception and Choice

نویسندگان

  • Igor Kopylov
  • Jawwad Noor
چکیده

We model agents who use self-deception to rationalize and justify actions that can eventually lead them into temptation. Formally, we extend Gul and Pesendorfer’s (2001) framework to three time periods and obtain a special functional form for the temptation utility at the interim stage. Our representation portrays an agent who is tempted (i) to relax her normative attitude towards future indulgence and (ii) to turn a blind eye to any possibility of temptation altogether. Welfare implications of self-deception are discussed.

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تاریخ انتشار 2009