Self-delusion in the pursuit of happiness

Arbeitspapier

The paper explores how repeated revisions of consumption plans increase long-run utility. If agents value present anticipations of future consumption, some revisions may be viewed as a benign form of self-delusion. We consider a minimal generalization of the Samuelson discounted utility model to allow for utility linked to next period consumption. Agents are assumed to vary with respect to their sophistication. Different environments likely to facilitate repeated revisions are also considered.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Discussion Papers ; No. 604

Classification and Topics

• Classification: Wirtschaft ; Relation of Economics to Other Disciplines ; Economic Methodology: Other ; Game Theory and Bargaining Theory: General ; Consumer Economics: Theory ; Welfare Economics: General ; Conflict; Conflict Resolution; Alliances; Revolutions ; Micro-Based Behavioral Economics: Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making‡ ; Macroeconomics: Consumption; Saving; Wealth

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Sommervoll, Dag Einar
• Event: Veröffentlichung
• (who): Statistics Norway, Research Department
• (where): Oslo
• (when): 2010

Further information

• Handle: http://hdl.handle.net/10419/192586
• Last update: 10.03.2025, 11:43 AM CET