Articles tagged with Behavioral Economics
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.
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.
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.
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 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 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 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 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.
A new study led by MIT economist Amy Finkelstein found that for every nine adults who gained access to Medicaid in Oregon, one previously eligible child was added to the Medicaid rolls. The effect is modest but economically meaningful, with children costing four times less to cover than adults.
A new study by Columbia University Mailman School of Public Health found that sustained low wages during working years are associated with significantly faster memory decline in older age. Low-wage earners experienced approximately one excess year of cognitive aging per a 10-year period compared to those who never earned low wages.
Researchers say stereotypes and stigma surrounding mental illness can lead to poor workplace behavior. Employees with mental illnesses may face fear of discrimination, which drives inauthenticity and counterproductive work behaviors.
A study suggests that an automated unemployment insurance policy could provide more clarity to workers during economic stress. The policy would not cost more or less than existing packages, but would resolve uncertainty and potentially prevent household financial crises.
Researchers found young adults living alone experienced negative mental and physical health impacts from job loss, while those with parents fared better. Fathers' job losses also led to worse outcomes for young adults living at home.
A study of over 1000 consumers from Australia and NZ found that 27% would pay nearly double the price for 'healthy' drinks with low/no sugar, natural/no additives, or vitamins and minerals. Younger consumers (18-24 years) are more likely to be interested in healthy drinks.
Research shows that default options on carbon offsetting websites can lead to faster CO2 compensation, even at higher costs. The study found that as costs increase, the effectiveness of these defaults decreases. This suggests that people are price-sensitive when it comes to high-cost defaults.
A new theory of decision-making proposes that people often use relative thinking when they should use absolutes, and vice-versa. This theory, developed by Mina Mahmoudi, aims to capture the behavior of boundedly rational decision-makers who struggle with optimal choices.
A study by WVU researcher Ednilson Bernardes found that supplier pool pressure contributed to the oversupply of prescription opioids like oxycodone and hydrocodone. The researchers analyzed transactions from 2006-2012, revealing that over 90% of supply came from just three generics manufacturers.
A new study by Carnegie Mellon University analyzed the impact of the COVID-19 pandemic and George Floyd's murder on crime rates in 28 US cities. The study found that homicides and auto thefts increased, while robberies and larcenies declined. The authors suggest that social unrest, economic conditions, and changed police behavior may b...
New research suggests that official vaccine mandates can motivate hesitant individuals to seek vaccination, with announcements of mandates having a significant impact on vaccination rates. The study used Canadian provinces and European countries to explore the relationship between mandates and vaccine uptake.
Wealthy individuals are more likely to purchase unsustainable products with higher price tags, feeling entitled to the benefits despite environmental costs. However, when encouraged to think about equality, this effect is diminished.
Institutional landlords have raised rent prices in neighborhoods where they own properties, but also improved neighborhood quality and safety. However, these improvements come at a cost to affordability, as rents increased by an average of 0.51% in overlapped neighborhoods.
A new framework for understanding animal societies emerges from a review of wealth inequality research in humans and animals. Wealth is found to be distributed equally or unequally across species, with material goods, individual attributes, and social connections being critical sources.
Researchers found that speeding can decrease fuel economy by 7% and result in an extra 28 cents per gallon at current US fuel prices. They also studied human behavior during the early days of COVID-19 and simulated cosmic collisions to better understand X-ray emissions.
A new study published in the Chinese Medical Journal assessed mortality risk in middle-aged and older Chinese individuals with multiple diseases. The study identified four multimorbidity patterns, with cardiometabolic being the most common, and found that individuals with these patterns had a significantly increased mortality risk.
A $1000 cash incentive significantly increased COVID-19 vaccination rates among hesitant individuals, reaching 87 percent. The study highlights the effectiveness of monetary incentives in addressing collective action problems like vaccine hesitancy and climate change.
New research suggests that plant-based meat alternatives have grown in market share but are not replacing traditional meat, instead serving as an add-on. The study found that consumers buy both plant-based and animal products, with plant-based meats accounting for only 0.4% of total fresh meat expenditures.
A novel experimental design study reveals cronyism is profitable for those who engage in it, driven by beliefs in reciprocity and favoritism. Shared identity motivates even low-quality workers to reciprocate trust with greater effort.
Researchers at Rensselaer Polytechnic Institute found that alternative delivery locations can help offset the negative impacts of increased home deliveries. The study suggests that these locations may be more appealing to underrepresented groups who don't receive many packages, increasing their willingness to use them.
A study found that crowdfunding campaigns are most successful when promoted on social media during the first 10 days. The researchers analyzed data from GoFundMe and found that donation patterns follow three phases, with a surge in donations as the goal is approached. However, they also discovered that slacktivism can occur when people...
Research from Indiana University reveals that cash assistance is a double-edged sword, harming both refugees and local residents if not implemented correctly. Humanitarian organizations can extend cash assistance to host regions with market power by partnering with local governments.
A new study by Thomas Pepinsky challenges the idea that language shapes thought and behavior, finding no evidence that linguistic differences affect social and economic outcomes. The study reveals that statistical methodologies used in previous research are prone to producing false positives.
Research from Rensselaer Polytechnic Institute found a significant drop in traffic accidents during the COVID-19 pandemic, with accidents involving males, nonwhite drivers, and individuals in the 25-64 age group showing smaller reductions.
A new study found that a higher minimum wage was associated with fewer people defaulting on their rent payments, particularly among those at the lower end of the housing expense market. However, landlords responded by increasing rent payments, offsetting some but not all of the increased income.
A study published in PNAS found that risk-tolerant and impatient individuals are more likely to commit crimes. The research used data from economic experiments involving over 7,000 young Danish men, who were shown to be more prone to theft and other property offenses.
Researchers at the University of Pennsylvania found that changing social strategies between settings can lead to more cooperative behavior in a society. In a model with spillover between domains, cooperation is favored when actors can observe and imitate each other's behaviors in different contexts.
A recent study found that individuals often identify with both their Planner and Doer selves, valuing spontaneity and flexibility in their attitudes towards resolutions. The research challenges the common assumption that people prioritize self-control over spontaneity.
A new study published in PNAS reveals that border walls damage a country's international image, with real implications for soft power. The study found that participants had negative perceptions of countries with border walls, regardless of their political views or distance from the border.
A field experiment in China found that people tend to increase activity when informed that others are themselves increasing activity, suggesting a low-cost intervention for promoting economic activity during the pandemic. The study suggests that social cues can be a useful signal for evaluating risks and making decisions about activities.
A new study found that older Europeans who underestimate their health are more likely to adapt their behavior in response to COVID-19 concerns. This group may face increased social isolation and feelings of loneliness as a result.
Researchers found that standard shopping carts, which activate triceps muscles, may constrain buying and result in missed sales. In contrast, alternative cart designs with parallel handles activate biceps muscles, leading to increased purchasing and spending.
Research conducted in rural and urban Chinese villages found that residents of Jincheng gave more tokens to strangers than those from Liangang, suggesting increased trust in out-group members. Effective governance was also linked to higher levels of out-group trust, contradicting concerns about urbanization eroding community bonds.
Researchers found that consumers are willing to pay a small discount for imperfect carrots, maxing out at 40% of misshapen carrots. Marketing messages promoting the nutritional quality and societal benefits of ugly produce were more effective in convincing consumers to buy.