Procrastination and Obedience

George Akerlof

No 294661, Institute for Policy Reform Archive from Institute for Policy Reform

Abstract: -Usual models of economic behavior used in analysis of policy reform assume individualistic values with forward looking rational expectations. These assumptions, while excellent at clarifying economic principles, are not quite realistic in an environment where significant • policy reform is taking place. This environment may be characterized more by individuals changing their minds and behavior as they respond to leadership and now ideas. This research models repeated decisions with time inconsistent behavior. Although each decision results in only small losses, the cumulative effect of a series of repeated errors can be quite large. Policy consequences of this type of behavior are illustrated with examples from • savings, crime, substance abuse, politics and bureaucratic organizations. Courses of action are reinforced by selective elimination of information contrary to that course of action, so that initial psychological overcommitments are reinforced. Limiting initial overcommitment and providing constant, contradictory information are important instruments to avoid the losses which result from procrastination and indoctrination.

Keywords: Institutional; and; Behavioral; Economics (search for similar items in EconPapers)
Pages: 44
Date: 1991-06
References: Add references at CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/294661/files/ipr014.pdf (application/pdf)

Related works:
Journal Article: Procrastination and Obedience (1991)
Working Paper: Procrastination and Obedience (1991)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:inpora:294661

DOI: 10.22004/ag.econ.294661

Access Statistics for this paper

More papers in Institute for Policy Reform Archive from Institute for Policy Reform
Bibliographic data for series maintained by AgEcon Search ().