Chapter 3 examines how a decisionmaker who is only partially aware of his temptation problem learns about it over time. In an environment in which the decisionmaker could eventually learn the exact nature of his temptation problem, rational learning may be perpetually incomplete with positive probability. In particular, partial awareness can generate overcommitment whereby decisionmakers with no or mild self-control problems choose to commit forever. My results cast doubt on the learning-theoretic justification for assuming that individuals perfectly understand their self-control problems, and demonstrate that partial awareness can have long-lasting behavioral implications.Chapter 3 examines how a decisionmaker who is only partially aware of his temptation problem learns about it over time.

Title | : | Essays in dynamic games |

Author | : | Syed Nageeb Mustafa Ali, Stanford University. Dept. of Economics |

Publisher | : | - 2007 |

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