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The standard economic model assumes that the consumer makes a plan for consumption over time, aiming to satisfy a single set of dynamically consistent preferences, and then sticks to this plan, unless new information arrives. This framework is tractable, and intuitive in the sense that it captures the deliberative side of human decision-making. An alternative framework has recently gained the attention of economists, however, in which the consumer’s ability to adhere to a plan for consumption depends on the outcome of an internal struggle. This struggle reflects two important departures from the standard model. First, consumers may have self-control problems, in the sense of dynamically inconsistent preferences: planning. | AUTHENTICATED U.S. GOVERNMENT INFORMATION GPỌ CURRENT ISSUES BEFORE THE FINANCIAL ACCOUNTING STANDARDS BOARD HEARING BEFORE THE SUBCOMMITTEE ON COMMERCE TRADE AND CONSUMER PROTECTION COMMITTEE ONeNERGY and COMMERCE HOUSE OF REPRESENTATIVES ONE HUNDRED SEVENTH CONGRESS FIRST SESSION JULY 31 2001 Serial No. 107-48 Printed for the use of the Committee on Energy and Commerce Available via the World Wide Web http www.access.gpo.gov congress house U.S. GOVERNMENT PRINTING OFFICE 74-850PS WASHINGTON 2001 For sale by the Superintendent of Documents U.S. Government Printing Office Internet bookstore.gpo.gov Phone 202 512-1800 Fax 202 512-2250 Mail Stop SSOP Washington DC 20402-0001 COMMITTEE ON ENERGY AND COMMERCE W.J. BILLY TAUZIN Louisiana Chairman MICHAEL BILIRAKIS Florida JOE BARTON Texas FRED UPTON Michigan CLIFF STEARNS Florida PAUL E. GILLMOR Ohio JAMES C. GREENWOOD Pennsylvania CHRISTOPHER COX California NATHAN DEAL Georgia STEVE LARGENT Oklahoma RICHARD BURR North Carolina ED WHITFIELD Kentucky GREG GANSKE Iowa CHARLIE NORWOOD Georgia BARBARA CUBIN Wyoming JOHN SHIMKUS Illinois HEATHER WILSON New Mexico JOHN B. SHADEGG Arizona CHARLES CHIP PICKERING Mississippi VITO FOSSELLA New York ROY BLUNT Missouri TOM DAVIS Virginia ED BRYANT Tennessee ROBERT L. EHRLICH Jr. Maryland STEVE BUYER Indiana GEORGE RADANOVICH California CHARLES F. BASS New Hampshire JOSEPH R. PITTS Pennsylvania MARY BONO California GREG WALDEN Oregon LEE TERRY Nebraska JOHN D. DINGELL Michigan HENRY A. WAXMAN California EDWARD J. MARKEY Massachusetts RALPH M. HALL Texas RICK BOUCHER Virginia EDOLPHUS TOWNS New York FRANK PALLONE Jr. New Jersey SHERROD BROWN Ohio BART GORDON Tennessee PETER DEUTSCH Florida BOBBY L. RUSH Illinois ANNA G. ESHOO California BART STUPAK Michigan ELIOT L. ENGEL New York TOM SAWYER Ohio ALBERT R. WYNN Maryland GENE GREEN Texas KAREN MCCARTHY Missouri TED STRICKLAND Ohio DIANA DEGETTE Colorado THOMAS M. BARRETT Wisconsin BILL LUTHER Minnesota LOIS CAPPS California MICHAEL F.
