Mental accounts are often characterized as self‐control devices that consumers employ to prevent excess spending and consumption. However, under certain conditions of ambiguity, the mental accounting process is malleable; that is, consumers have flexibility in assigning expenses to different mental accounts. We demonstrate how consumers flexibly classify expenses, or construct accounts, to justify spending. An expense that can be assigned to more than one account...

Mental accounting posits that people track their expenditures using cognitive categories or “mental accounts.” The authors propose that this cognitive process can be complemented by an approach that examines how feelings about a sum of money, or the money's “affective tag,” influence its consumption. When people receive money under negative circumstances, this tag can include a negative affect component, which people aim to reduce by...

This research examines the effects of earmarking money on savings by low-income consumers. In particular, the authors test two interventions that are designed to enhance the effects of earmarking: (1) using a visual reminder of the savings goal and (2) dividing the earmarked money into two parts. Consistent with prior research suggesting that partitioning increases self-control, people save more when earmarked money is partitioned into...

Research on choice architecture is shaping policy around the world, touching on areas ranging from retirement economics to environmental issues. Recently, researchers and policy makers have begun paying more attention not just to choice architecture but also to information architecture, or the format in which information is presented to people. In this article, the authors investigate information architecture as it applies to consumption in retirement....

Nominal wage rigidity has been shown to exist in periods of high inflation, while reduction in nominal pay has been hypothesized to occur in times of low inflation. Nominal wage rigidity would therefore become irrelevant because there is little need to cut nominal pay under high inflation, while the necessary cuts would occur under low inflation. We test this hypothesis by examining Swiss data in...

We investigate experimentally how firms and consumers react to a sudden cost increase in a competitive retail market. We compare two conditions that exclusively differ with respect to how difficult it is to organize and enforce boycotts. We find that cost increases translate into sudden price increases, and that consumer boycotts are frequent in response. However, consumer boycotts are unsuccessful in holding down market prices...

This paper describes a voting procedure for revealing preferences for public goods. The procedure consists of two steps: a proposal by each committee member to be added along with the status quo to form the issue set, and then, subsequent to a random determination of voting order, the elimination of one proposal from the issue set by each committee member. For any set of proposals...

초록 없음  Intriligator, M. D. (1973). A probabilistic model of social choice. The Review of Economic Studies, 40(4), 553-560.DOI: 10.2307/2296588  

The paper argues for the relevance of procedural justice to social choice and presents supporting evidence from primary data on voter attitudes. A preliminary section proposes and discusses five propositions that indicate the potential value and significance of processes for social choice. Section 3 considers evidence for what psychologists have called `voice' and the extent to which control over, or representation in, a decision is...

A random survey reveals that a rise in price to cope with a situation of excess demand is considered unfair by 80% of the respondents. Pricing is considered less unfair as a decisionmaking procedure under recurrent situations than as a device to ration demand in a unique, fixed supply situation. Results contrasting with conventional economic theory are that traditional and administrative procedures are much preferred...