Masatlioglu, Yusufcan; Nakajima, Daisuke; Ozdenoren, Emre - In: Theoretical economics : TE ; an open access journal in … 15 (2020) 1, pp. 279-317
This paper provides a behavioral foundation for the willpower as limited cognitive resource model which bridges the … representation that captures key behavioral traits of willpower constrained decision making. We use the model to study the pricing … problem of a profit-maximizing monopolist who faces consumers with limited willpower. We show that the optimal contract often …