⁴The logic of Akerlof and Yellen (1985) and Cochrane (1989) suggests the the utility consequences of such a deviation from perfectly optimal behavior might not be too large. But such behavior might even be fully rational in a model in which measured consumption includes spending on ‘small durables’ (including many that may not be classified as such in the National Accounts, such as memorable goods modeled in Hai, Krueger, and Postlewaite (2020)) that would generate splurge-like behavior – see Browning and Crossley (2009) for a start; see also Laibson, Maxted, and Moll (2022). In addition, Indarte, Kluender, Malmendier, and Stepner (2024) attributes splurge-like behavior to a form of “present bias” in which people have time inconsistent preferences; Maxted, Laibson, and Moll (2024) offers a similar interpretation.