Tags » Endowment Effect

Civil Cases: What motivates them?

“This is a civil case.  It is about money.  Every step of the way is bounded by cost-benefit analysis and proportionality.” Justice Myers in Whitty v Wells… 313 more words

Law In Motion

Prospect theory #1 Buy my products!

Most of us are gonna have to make a myriad of financial decisions in our life times. We often presume that people are rational, and that people would make choices using their rationality. 477 more words

Consumer Psychology

The endowment effect at work

The Weird Psychology of Returning Stuff to the Store

In 2013, a mountain climber named Chad Thomas told The Wall Street Journal that he’d returned a backpack to the outdoor-clothing and -gear retailer REI earlier that year — a backpack that he had, by the way, originally purchased in 2004. 59 more words

Behavioral Economics

Children value ideas over labor

Text #15

Li, V., Shaw, A., & Olson, K. R. (2013). Ideas versus labor : What do children value in artistic creation ? COGNITION, … 432 more words

Ownership

9 Sept 2015 (AFR) - Know when to fold 'em - So long, loser! Why it's hard to sell blue chips

(9 September 2015, AFR, p23, by Vanessa Desloires)

‘Everyone’s held a stock they just can’t bring themselves to get let go of, even though logic screams to sell it.  72 more words

0.General

Ownership, object history and endowment effect in 2 and 3 year olds - Gelman

Text #13

Gelman, S. a., Manczak, E. M., & Noles, N. S. (2012). The nonobvious basis of ownership: Preschool children trace the history and value of owned objects. 899 more words

Ownership

Shop a Little, Save a Little - the Psychology of Saving Money

Behaviour Economics (“BC”) is an important topic when it comes to money, how we spend it, why we spend it, etc.

BC is applied to the study of classical economics – it’s the psychology behind the market. 495 more words

Personal Finance