Long-Term Contracting With Time-Inconsistent Agents

Gottlieb, D; Zhang, XT

Gottlieb, D (corresponding author), London Sch Econ, Dept Management, London, England.

ECONOMETRICA, 2021; 89 (2): 793

Abstract

We study contracts between naive present-biased consumers and risk-neutral firms. We show that the welfare loss from present bias vanishes as the cont......

Full Text Link