Estimating temptation and commitment over the life-cycle
This paper estimates the importance of temptation (Gul and Pesendorfer, 2001) for consumption smoothing and asset accumulation in a structural life-cycle model. We use two complementary estimation strategies: ?rst, we estimate the Euler equation of this model; and second we match liquid and illiquid...
| Main Authors: | , , |
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| Format: | Working paper |
| Published: |
University of Oxford
2020
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