||<p>This dissertation concerns methods to test whether or not self-control</p><p>is
costly, the form of temptation, and the affects different assumptions</p><p>about
costly self-control and temptation have on optimal borrowing</p><p>and saving mechanisms.
The second chapter shows that costly self-control</p><p>and temptation can be differentiated
from changing impatience in a</p><p>stochastic income consumption-savings environment.
The third chapter</p><p>describes an experiment to test whether subjects have time
inconsistent</p><p>preferences, whether self-control is costly, and if so, whether
the</p><p>cost of self-control is time dependent. The fourth chapter describes</p><p>the
affects on the optimal borrowing and savings mechanisms that assumptions</p><p>about
the myopia of temptation and the strength of costly self-control</p><p>have.</p>