Insights Review

Posts categorized "Behavioral Economics"

Betrayed by the Familiar

You’re running late to an important meeting. You rush out to an early-morning curb and see a nearby cab from a company that you don’t recognize. Two blocks down, another cab idles; it’s from a...

January 2, 2015

Better Marketing with Behavioral Economics

Better Marketing with Behavioral Economics There is attractive simplicity to the notion that consumers choose what they want. It makes the work of marketers relatively straightforward: give the...

December 10, 2014

Remember your Economics: Reminding Consumers of Opportunity Costs

You also surrendered your ability to use those few dollars towards any other purchases, from a cup of coffee, to a newspaper, to a tiny fraction of a new BMW. Economists call these sacrifices “...

December 9, 2014

How Much is 700 Pounds?

Consider the following two questions: 1 – How ferocious is a badger on a 10-point scale? 2 – How much does a badger weigh? Numeric judgments of a badger’s ferocity clearly depend on the...

December 3, 2014

A Shopper in Motion

In England, in 1687, Isaac Newton released the first edition of his magnum opus, Mathematical Principles of Natural Philosophy. Among other foundational concepts, he outlined three laws of motion—now...

November 20, 2014

The Perils of Wrapping Paper: Unwrapping Consumer Expectations

Most of us can relate to the feelings of excitement and anticipation that comes along with eying a beautifully wrapped gift with our name on it. Unfortunately, most of us can also relate to the...

November 19, 2014

The Pleasure of Guilt

Amid celebration and merriness, holidays have a certain facility for inspiring feelings of guilt: did I eat too much food? Did I find the right gifts and give them to the right people? Did I meet...

October 28, 2014

A Behavioral Scientist’s Guide to Gift-Giving

Holidays and birthdays and anniversaries, in good times and in bad, in service of custom or in order to strengthen social bonds—the act of giving gifts is diverse in its motivations. But regardless...

October 15, 2014

Nobody Likes a Bad Deal

Selling prices often considerably exceed buying prices. People who indicate $400 as the most they would pay for a Super Bowl ticket appear to value it at $1,000 when indicating the least they would...

August 1, 2014