RT Journal Article
SR 00
ID 10.1177/1043463195007002004
A1 Wirl, F.
A1 Feichtinger, G.
T1 Persistent cyclical consumption: Variations on the Becker-Murphy model of addiction
JF Rationality and Society
YR 1995
FD 1995-04
VO 7
IS 2
SP 156
OP 166
AB This article reconsiders a model of Becker and Murphy on rational addiction. Inter alia, they show that a psychological property of consumption (addiction or habits) can induce complex and, in particular, cyclical behavior (binges). The purpose of this article is to prove that economic reasons (the difference between individual discounting and market rates of interest) can explain rational cycles too.
PB Sage
SN 1043-4631
LK https://pure.iiasa.ac.at/id/eprint/4254/