Do Financial Restrictions Deteriorate or Improve Self-Control? Moderating Effect of the Duration of Financial Restrictions on Saving, Indulgence, and Rational Behavior

Gülen Sarial Abi, Aulona Ulqinaku

Research output: Contribution to conferencePaperResearchpeer-review


Do financial restrictions deteriorate or improve self-control? In a series of studies that include two different archival datasets from Italy and Germany, laboratory experiments and a field study, we demonstrate that the duration of financial restrictions influences saving, indulgence, and rational behavior. Although previous research might suggest that those who have financial restrictions are worse in self-control than those who do not have financial restrictions, we demonstrate that within consumers who experience financial restrictions, duration of experiencing financial restrictions positively influences self-control. We further demonstrate that the results are not explained by adaptation or sensitization but are explained by the experiential knowledge that one gains as the duration of the financial restrictions increases. We discuss the theoretical contributions and managerial implications of our research.
Original languageEnglish
Publication date2019
Publication statusPublished - 2019
Externally publishedYes
EventThe 48th EMAC Annual Conference 2019 - University of Hamburg, Hamburg, Germany
Duration: 29 May 201931 May 2019
Conference number: 48


ConferenceThe 48th EMAC Annual Conference 2019
LocationUniversity of Hamburg
Internet address


  • Financial
  • Restrictions
  • Self-control

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