Modelling Addiction as a Special Case of Sequential Choice

41 Pages Posted: 8 Jan 1998

Date Written: January 1996

Abstract

I consider competing explanations of addiction that might be acceptable to economists and other social scientists. I argue that the Becker-Murphy model of rational addiction meets the requirements of its proponents, but that it does not provide a convincing explanation of addicts' states of mind. As an alternative I propose a variation upon a model of competing interests within the individual proposed by Ainslie (1992).

This model permits us to draw a distinction between addictive behaviours and provides a rationale for the existence of rule based behaviour. I then show how a very small amendment of the Becker-Murphy model might capture the insights of Ainslie's work.

JEL Classification: D10, D90

Suggested Citation

Mochrie, Robert I., Modelling Addiction as a Special Case of Sequential Choice (January 1996). Available at SSRN: https://ssrn.com/abstract=51686 or http://dx.doi.org/10.2139/ssrn.51686

Robert I. Mochrie (Contact Author)

Heriot-Watt University ( email )

Riccarton
Edinburgh EH14 4AS, Scotland EH14 1AS
United Kingdom
(0131) 449-5111 ext 3481 (Phone)