Articles tagged with Behavioral Economics
A new study found that negative behavior can spill over to unrelated third parties, regardless of the initial intent. When individuals face resource loss due to negative action, they are inclined to seek compensation from both immediate offenders and unrelated third parties.
Research finds that English hospitals meeting NHS 18-week waiting list target often only treat patients who are close to the threshold, rather than those in need. The study suggests that some trusts may prioritize compliance over clinical need.
Researchers found that gig workers' lack of traditional workplace interaction leads to less trust, but this may not negatively impact their performance. Instead, gig workers tend to rebound more quickly from issues with managers.
Brands leveraging quality reputation to pay employees less erode profits due to negative effects on productivity and retention. Unique brands, which tend to pay more, have a positive impact on profits. Managers should consider brand differentiation in pay benchmarking.
Environmental regulators should use scientific experimentation to inform natural resource policy, according to an international group of economists. By conducting experiments and analyzing results, policymakers can create more effective programs and reduce uncertainty about what works and what doesn't.
A new study finds that severe behavioral symptoms in older adults are associated with a higher likelihood of divorce, while those with more advanced dementia are less likely to end their marriages. The research analyzed data from 263 married couples and found a positive correlation between neuropsychiatric symptoms and divorce risk.
A new study by Ben-Gurion University researchers measures effort in football teams, finding that peer effort positively affects individual effort. Teammates' social connections also contribute to positive effects. The findings suggest that managers should consider workers' compensation based on effort, not just performance.
The article explores how export diversification and ICT shape employment patterns, with research highlighting the importance of diversified trade baskets to minimize economic uncertainties. Tailored trade policies can unlock employment opportunities for both high-skilled and low-skilled workers, fostering sustainable growth.
A new University of Colorado Boulder study finds that reducing food loss and waste could lead to increased access to affordable food worldwide, but at the cost of reduced environmental benefits. The study suggests that more food availability would result in lower prices, leading to changes in consumer behavior.
Researchers found that customers tend to consider money spent as already lost, making it easier for retailers to cross-sell products. However, customers are less likely to buy an item outside their original category when expecting to return it.
Researchers found that stocks with thin tails, indicating low tail risk, exhibit left-tail momentum, contradicting previous assumptions. The phenomenon is driven by investors overvaluing these stocks, suggesting a complex relationship between risk and return.
Researchers from CHOP and Penn found that cancer patients who continued to smoke after diagnosis were more likely to receive tobacco treatment when nudges were directed at clinicians through electronic health records. This study strengthens the case for using behavioral economics to improve outcomes for cancer patients.
A study found that consumers incorrectly assume low-fat products contain less sugar, affecting purchasing behavior. Manufacturers' labeling practices can deceive consumers, leading to decreased willingness to buy.
A new study suggests that more women should be aware of the potential for revision surgery after cosmetic breast augmentation. The researchers found that those who consider themselves healthier and have higher levels of education are less likely to undergo or recommend the procedure.
Researchers ran survey experiments to assess the effectiveness of microtargeting in politics, finding that targeted ads can be 70% more persuasive than general campaigns. However, using multiple attributes for targeting did not add further benefit, suggesting a 'one ad does not fit all' approach.
A recent study published in PLOS ONE found that individuals with higher incomes tend to be more generous when living in areas with high levels of economic inequality. In contrast, the lowest-income groups show less generosity in more unequal areas. The researchers used local data from the US and UK to examine this relationship.
A study of 142 nations found a strong link between access to formal financial services and lower COVID-19 mortality rates. Access to bank accounts, credit cards, or loans from a financial institution is a key predictor of lower mortality risk, even stronger than comorbidities.
The researchers developed a Revealed Preference Argumentation framework and an Integrated Preference Argumentation framework, which unify two main approaches to RPT. They also created comprehensive algorithms for IPA frameworks and tested the tool on RPT-based consumer behavior analysis.
A study by Anglia Ruskin University found that Madoff's business dealings, trial, and prison time revealed a high score on psychopathy scales. The research warns companies to identify and prevent corporate psychopaths who can bring down organizations and economies through recklessness and greed.
Research from Indiana University suggests that married couples who merge their finances are happier and fight less over money. The study found a causal relationship between joint bank accounts and improved relationship quality, including higher levels of communality within the marriage.
Researchers found that women tend to accept job offers earlier and are more likely to accept lower-paying offers compared to men. The study suggests that risk tolerance and salary expectations may account for a significant proportion of the observed gender difference in earnings.
A UBC study found that employee layoffs have a strong impact on voluntary turnover among remaining employees, especially when high performers are let go without clear justification. The research suggests that organizations should prioritize clear communication and compassionate decision-making to avoid destabilizing their workforce.
Central bank balance sheet policies are effective if investors behave according to a plausible alternative behavioral assumption to rational expectations. Professors Iovino and Sergeyev's new paper finds that level-k thinking breaks away with the demanding assumption of rational expectations, allowing agents to have varying degrees of ...
A study found that people offer bribes above average to officials from countries with a reputation for corruption. Citizens tend to over- or underestimate the acceptance rates of officials from different countries. Overcoming biases about certain nations could help fight corruption globally.
A groundbreaking study published in Nature Neuroscience shows that monkeys can think deeply about problems, consider multiple factors, and find optimal outcomes. This discovery challenges traditional views on animal intelligence and highlights the complexity of monkey cognition.
Researchers at Cornell University found that employees who are not in positions of power can become more creative when given time to warm up to a task by engaging in it multiple times. This challenges the idea that power boosts creativity and suggests a simple intervention to empower all employees.
A new machine learning study found that habit formation varies in time for different behaviors, such as gym-going and hand-washing. The study analyzed data from over 30,000 gymgoers and 3,000 hospital workers, revealing factors like past behavior and time since last visit played significant roles.
Research shows that SEC challenges can influence how CEOs and CFOs communicate with investors and analysts in private meetings. A study found that the effectiveness of regulatory enforcement depends on perception of the SEC's ability to enforce regulations.
Researchers led by Nicolas Ajzenman found that immigrants don't increase crime rates, but people's perception of crime does. In Chile, migrants' presence sparked concerns among citizens, with those exposed to immigration inflows more likely to rank crime as a top concern.
A new analysis shows that the US has substantially higher death rates at all but the oldest ages compared to five high-income European countries. The excess death gap widened during the Covid-19 pandemic, with the number of excess deaths nearly doubling between 2019 and 2021.
A new study found that consumers prefer conventional spelling over unconventional ones for brand names. In various studies, participants showed less positive responses to brands with misspelled names, perceiving them as less sincere and more gimmicky. Established brands may still benefit from non-standard spellings in certain contexts.
A new study by researchers from Penn and Princeton reveals that, on average, larger incomes are associated with ever-increasing levels of happiness. However, an unhappy cohort within each income group shows a sharp rise in happiness up to $100,000 annually before plateauing.
Researchers found that deposit insurance motivates people to keep deposits immediately below the insured threshold, leading to 'bunching' behavior. An increase in insured deposits also causes savers to change their asset allocation and increase their deposits.
A new study by Cornell University found that customers who use one-click checkout spend more on average, visiting the site 7% more often and buying a wider range of merchandise. One-click buyers also spent more time on the site per visit.
A new study by WVU economist Zachary Porreca found that gentrification can displace organized criminal activity, leading to a surge in gun violence in nearby neighborhoods. The study analyzed data on shootings and real estate across Philadelphia neighborhoods between 2011-2020.
Men are more likely to interpret uncertain information optimistically and make riskier financial decisions, especially with increasing amounts of available information. Women, on the other hand, show a more cautious approach in uncertain situations, with missing information bothering them more than men.
This project aims to identify conditions necessary for abandoning climate-damaging social norms and test their effectiveness on representative samples in different countries. The goal is to find solutions for large-scale sustainable changes in individual and social behavior.
A new game theory study by Professor Claudius Gros finds that unregulated competition can lead to catastrophic poverty for investors, with profits scaling as 1/N². Cooperation among investors can avoid this damage, resulting in a net profit corresponding to the number of investors.
A new study suggests that Thai confectioners can gain a competitive advantage by using their country's local heritage and culture. The research found that youngsters in Thailand still enjoy local confectionary as well as Western brands, but local products have strong emotional value to them.
A study from Oregon State University found that consumers are willing to pay more for familiar cheese varieties if they have an award sticker or sensory information about the taste. The researchers identified two groups of consumers: those who prefer unfamiliar foods and those who prefer familiar ones, with different priorities for the...
A USC study found that notifying clinicians about fatal opioid overdoses through letters from medical examiners reduces opioid prescribing over the next three months. The study shows these notifications have a lasting impact, with a 7% reduction in prescriptions after one year.
A study by MIT economists found that doctors and their families are less likely to adhere to medication guidelines than the general population. Despite having better access to medical expertise, they lag behind in following guidelines 3.8 percentage points, with significant differences in 41 cases.
A new study by University of Kansas economist Donna Ginther found that increased TANF caseloads were associated with significant reductions in neglect victims and foster care placements. The research suggests that access to the social safety net, in the form of TANF benefits, helps reduce child abuse rates.
A new study published in Collective Intelligence journal suggests that evolutionary forces may be fueling collective tendencies to discriminate. The research recommends fostering environments where desired behavior emerges naturally through evolutionary dynamics rather than regulating against undesired outcomes.
A new study reveals that households using prepayment meters consume significantly fewer portions of fruit and vegetables compared to those on alternative payment methods. The researchers found a strong link between higher energy bills and lower consumption of essential nutrients, highlighting the 'heat-or-eat' dilemma.
A new study finds that achieving access to minimum resources and services for all while safeguarding the Earth system requires redistribution and societal transformations. The research shows that the wealthiest individuals and societies must undergo transformative change to mitigate climate impacts, while the poor are not the primary c...
A new study from the University of Copenhagen found that at least 60 percent of Danes who promised to donate never followed through on their commitments. Digital payment solutions made it easier for people to delay donations, but also led to larger average cash contributions. Social pressure was identified as a key driver of charity gi...
Researchers found that groups using multivoting proved more effective in identifying the best choice, with 50% higher accuracy than plurality and ranked-choice voting. Multivoting allows individuals to allocate votes across options, promoting deeper information processing before discussion.
A global study found that cardiovascular disease risk factors are largely the same for men and women, except for high LDL levels which affect men more. Women have a lower risk of heart attack and stroke due to their estrogen's effect on vessel walls and liver function.
Researchers from the University of Tsukuba have found that individual neurons in the neural circuit that processes reward information fire in accordance with prospect theory. The study used rhesus monkeys to perform lottery tasks and recorded neural activity while they completed the tasks, finding that single-neuron activity conformed ...
A study found that online grocery shopping filled gaps for people with mobility limitations, quarantine, or sick with COVID. Despite technological limitations, many consumers predicted continued high usage of e-commerce in the food sector.
A randomized controlled study found that short training units improved children's self-regulation, reading ability, and focus, with positive long-term effects on their educational success. The training program, based on the MCII Strategy, can be easily integrated into primary school teaching schedules.
A study by University of Basel economists found that homeownership leads to increased happiness, but not as long as predicted. Status-oriented individuals overestimated the benefits of home ownership, while intrinsically-oriented individuals were more accurate in their expectations.
A large-scale experimental study by Harvard, Stanford, and MIT researchers found that weaker social connections on LinkedIn have a greater beneficial effect on job mobility than stronger ties. Weaker ties increased the likelihood of job mobility the most, while strongest ties had the least impact.
A new study by Martin-Luther-University Halle-Wittenberg found that using only students in experiments can lead to biased results, as their decisions differ from those of other population groups. The study compared agricultural science students to farmers and found differences in risk-taking, patience, trust, and generosity.
Researchers found that impressions formed during small talk influenced behavior in strategic games. Participants who believed their partner was an extrovert behaved more cooperatively, while shared personality traits made it harder to out-guess opponents. This study highlights the importance of regular small talk communication.
A 21% relative risk reduction in reported high-risk HIV behavior was found for single mothers with a State-level Earned Income Tax Credit (SEITC) of 10% or above the Federal EITC. A 10 percentage-point increase in SEITC was also linked to a 38% relative reduction in high-risk behavior.
Researchers found that specialized ETFs invest in overvalued areas with an average return about 30% lower than diversified funds. These hot-topic funds are often launched when the hype is at its peak, causing them to lose value quickly.
A recent paper by Darren Grant found favoritism in order assignment in various contests, including Texas and West Virginia primary elections. The author applied statistical methods to detect this behavior, which was often overlooked despite its significant impact on outcomes.
A new study by Carnegie Mellon University and the University of Innsbruck found that individuals treat information as cherished possessions, exhibiting loss aversion and endowment effects. This discovery has implications for education, healthcare, and online consumer privacy.