Preference Reversal in Risky Choices Under Time Pressure

Najam Saqib, Ryerson University, Canada
Eugene Chan, University of Toronto, Canada
In three studies, we examine the phenomenon that time pressure leads risky decision-making to a reversal of the usual preference. In Study 1, participants with positive (negative) affect were risk-seeking (risk-averse) when there was no time pressure, but adopted risk-averse (risk-seeking) behaviours under time pressure. In Study 2, we show that it is the salience of negative information under time pressure that mediates the preference reversal. In Study 3, participants with a promotion (prevention) focus preferred prevention- (promotion-) framed and safer (riskier) choices under time pressure. Results suggest that, under time pressure, individuals tend to reverse their risk preferences, with consequences in everyday decision-making.
[ to cite ]:
Najam Saqib and Eugene Chan (2010) ,"Preference Reversal in Risky Choices Under Time Pressure", in NA - Advances in Consumer Research Volume 37, eds. Margaret C. Campbell, Jeff Inman, and Rik Pieters, Duluth, MN : Association for Consumer Research, Pages: 585-586 .