Understanding the Expense Prediction Bias

Chuck Howard, University of British Columbia, Canada
David Hardisty, University of British Columbia, Canada
Abigail Sussman, University of Chicago, USA
Melissa Knoll, Consumer Financial Protection Bureau, USA
The present research makes several important contributions to the literature on expense misprediction. Most notably, we show that EPB is prevalent in large samples of adult Americans, that EPB is associated with payday loan use, and that EPB can be reversed by manipulating perceived unusualness of future expenses.
[ to cite ]:
Chuck Howard, David Hardisty, Abigail Sussman, and Melissa Knoll (2016) ,"Understanding the Expense Prediction Bias", in NA - Advances in Consumer Research Volume 44, eds. Page Moreau and Stefano Puntoni, Duluth, MN : Association for Consumer Research, Pages: 190-194.