Search Results - subject:"timeinconsistency"

Anderlini, Luca; Felli, Leonardo; Riboni, Alessandro - C.E.P.R. Discussion Papers - 2008

the potential for time-inconsistency. Under Case Law, Courts may be tempted to behave myopically and neglect ex … matures this temptation prevails and Case Law Courts succumb to the time-inconsistency problem. Statute Law, on the other hand … pairs the lack of flexibility with the ability to commit in advance to a given (forward looking) rule. This solves the time-inconsistency …

Persistent link: https://www.econbiz.de/10005792039

How much time-inconsistency is there and does it matter? Evidence on self-awareness, size, and effects

Wong, Wei-Kang - In: Journal of Economic Behavior & Organization 68 (2008) 3-4, pp. 645-656

Using students' predicted and unpredicted delays in midterm preparation as measures of time-inconsistency and self … the actual time spent in preparation. Most students showed some time-inconsistency. Most were at least partially aware of … their time-inconsistency. Despite full awareness, the sophisticates still under-performed in class relative to the time …

Persistent link: https://www.econbiz.de/10005135797

Fiscal Discipline and Stability under Currency Board Systems

Grimm, Oliver - CER-ETH Center of Economic Research, Department of … - 2007

In economic discussions, currency board systems are frequently described as arrangements with self-binding character to the monetary authorities by their strict rules and establishments by law. Hard pegs and especially currency boards are often seen as remedies to overcome economic and financial...

Persistent link: https://www.econbiz.de/10005839145

Now or Never: Environmental Protection under Hyperbolic Discounting

Winkler, Ralph - CER-ETH Center of Economic Research, Department of … - 2006

In this paper, we extend the well known result that hyperbolically discounting agents tend to postpone costs into the future. In a simple model we show that, without commitment to the ex ante optimal plan, no investment in environmental protection is undertaken over the whole time horizon, no...

Persistent link: https://www.econbiz.de/10005839147

Behavioral Biases Meet the Market: The Case of Magazine Subscription Prices

Oster, Sharon M.; Scott Morton, Fiona M. - In: The B.E. Journal of Economic Analysis & Policy 5 (2005) 1

Abstract Using data from American magazines, we explore the relationship between newsstand and subscription prices and magazine characteristics. In particular, we distinguish between magazines that provide benefits in the future (investment magazines) versus those that are simply fun to read now...

Persistent link: https://www.econbiz.de/10014586793

Price Setting in a Forward-Looking Customer Market

Nakamura, Emi; Steinsson, Jon - EconWPA - 2005

equilibrium outcome. Equilibrium price rigidity can be sustained because rigid prices help firms overcome the time-inconsistency …

Persistent link: https://www.econbiz.de/10005412576

Behavioral Biases Meet the Market: The Case of Magazine Subscription Prices

Oster, Sharon; Morton, Fiona Scott - In: Advances in Economic Analysis & Policy 5 (2005) 1, pp. 1323-1323

Using data from American magazines, we explore the relationship between newsstand and subscription prices and magazine characteristics. In particular, we distinguish between magazines that provide benefits in the future (investment magazines) versus those that are simply fun to read now (leisure...

Persistent link: https://www.econbiz.de/10005458852

Solving the Neoclassical Growth Model with Quasi-Geometric Discounting: A Grid-Based Euler-Equation Method

Maliar, Lilia; Maliar, Serguei - In: Computational Economics 26 (2005) 2, pp. 163-172

The standard neoclassical growth model with quasi-geometric discounting is shown elsewhere (Krusell, P. and Smith, A., CEPR Discussion Paper No. 2651, 2000) to have multiple solutions. As a result, value-iterative methods fail to converge. The set of equilibria is however reduced if we restrict...

Persistent link: https://www.econbiz.de/10005701748

Measuring the Time-Inconsistency of US Monetary Policy

Surico, Paolo - EconWPA - 2004

This paper offers an alternative explanation for the behavior of postwar US inflation by measuring a novel source of monetary policy time- inconsistency due to Cukierman (2002). In the presence of asymmetric preferences, the monetary authorities end up generating a systematic inflation bias...

Persistent link: https://www.econbiz.de/10005412629

Delegation of Monetary Policy: More than a Relocation of the Time-Inconsistency Problem

Driffill, John; Rotondi, Zeno - C.E.P.R. Discussion Papers - 2003

government, does not mitigate the problem of time-inconsistency, but merely relocates it. We argue here that this is not so, and …

Persistent link: https://www.econbiz.de/10005656362