Saving money in a retirement account with many withdrawal restrictions at an interest rate of 5% while simultaneously borrowing money at 10% is consistent with the:

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The self-control model of saving explains this behavior by suggesting that individuals might save in a restricted account to prevent themselves from spending too much, even if it means borrowing at a higher interest rate for immediate needs. This model highlights the struggle between present and future consumption and the use of commitment devices (like retirement accounts with withdrawal restrictions) to enforce saving.

Saving Money in a Retirement Account with Many Withdrawal Restrictions