A Man's Car Breaks Down and He Must Walk 10 $\$ 4$

True/False

A man's car breaks down and he must walk 10 miles to the nearest service station. It's a hot day and he is incredibly thirsty. When he arrives at the service station he pays $\$ 4$ for a bottle of water. A few days later, his car is fixed and he stops at the store to pick up some groceries before heading home. He noticed that a bottle of water cost $\$ 3.50$ and decided not to buy it because it was too expensive. The only explanation for this man's behavior is that he has reference-dependent preferences.