Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5100086 | Journal of Economic Theory | 2017 | 9 Pages |
Abstract
In a standard model of menu choice, we examine the behavior of an agent who applies the following Cautious Deferral rule: “Whenever in doubt, don't commit; just leave options open.” Our primitive is a complete preference relation â½ that represents the agent's choice behavior. The agent's indecisiveness is captured by means of a possibly incomplete (but otherwise rational) preference relation â½Ë. We ask when â½ can be viewed as a Cautious Deferral completion of some incomplete â½Ë. Under the independence and continuity assumptions commonly used in the menu choice literature, we find that even the smallest amount of indecisiveness is enough to force â½, through the above deferral rule, to exhibit preference for flexibility on its entire domain. Thus we highlight a fundamental tension between non-monotonic preferences, such as preferences for self-control, and tendency to defer choice due to indecisiveness.
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Authors
Leonardo Pejsachowicz, Séverine Toussaert,