Salience
We review the fast-growing work on salience and economic behavior. Psychological
research shows that salient stimuli attract human attention bottom up due to their high …
research shows that salient stimuli attract human attention bottom up due to their high …
Behavioral industrial organization
P Heidhues, B Kőszegi - Handbook of Behavioral Economics: Applications …, 2018 - Elsevier
This chapter surveys the literature on behavioral industrial organization, covering four broad
topics:(1) how rational firms interact with consumers who make systematic mistakes in …
topics:(1) how rational firms interact with consumers who make systematic mistakes in …
Behavioral inattention
X Gabaix - Handbook of behavioral economics: Applications and …, 2019 - Elsevier
Inattention is a central, unifying theme for much of behavioral economics. It permeates such
disparate fields as microeconomics, macroeconomics, finance, public economics, and …
disparate fields as microeconomics, macroeconomics, finance, public economics, and …
[HTML][HTML] Nudging: Progress to date and future directions
J Beshears, H Kosowsky - Organizational behavior and human decision …, 2020 - Elsevier
Nudges influence behavior by changing the environment in which decisions are made,
without restricting the menu of options and without altering financial incentives. This paper …
without restricting the menu of options and without altering financial incentives. This paper …
Scarcity frames value
AK Shah, E Shafir, S Mullainathan - Psychological science, 2015 - journals.sagepub.com
Economic models of decision making assume that people have a stable way of thinking
about value. In contrast, psychology has shown that people's preferences are often …
about value. In contrast, psychology has shown that people's preferences are often …
Memory, attention, and choice
Building on a textbook description of associative memory, we present a model of choice in
which a choice option cues recall of similar past experiences. Memory shapes valuation and …
which a choice option cues recall of similar past experiences. Memory shapes valuation and …
Attention variation and welfare: theory and evidence from a tax salience experiment
D Taubinsky, A Rees-Jones - The Review of Economic Studies, 2018 - academic.oup.com
This article shows that accounting for variation in mistakes can be crucial for welfare
analysis. Focusing on consumer under-reaction to not-fully-salient sales taxes, we show …
analysis. Focusing on consumer under-reaction to not-fully-salient sales taxes, we show …
Something in the air: Pollution and the demand for health insurance
We find that daily air pollution levels have a significant effect on the decision to purchase or
cancel health insurance in a manner inconsistent with rational choice theory. A one standard …
cancel health insurance in a manner inconsistent with rational choice theory. A one standard …
Frictions or mental gaps: what's behind the information we (don't) use and when do we care?
B Handel, J Schwartzstein - Journal of Economic Perspectives, 2018 - aeaweb.org
Consumers suffer significant losses from not acting on available information. These losses
stem from frictions such as search costs, switching costs, and rational inattention, as well as …
stem from frictions such as search costs, switching costs, and rational inattention, as well as …