Scope Neglect in Spending Time

Ritesh Saini, University of Texas at Arlington, USA
Much like money, time is an economic resource. However people don’t treat both currencies in the same fashion. In this paper we demonstrate that people often display a significant degree of magnitude insensitivity (or scope neglect) for outcomes when spending time (vs. money) (Study 1 and Study 2). However this neglect is only apparent when time is spent in pursuit of non-monetary outcomes, and not money itself. Moreover this effect diminishes when decision makers are encouraged to evaluate the non-monetary outcomes in monetary terms (Study 3). Also, people are less discriminating between the worth of qualitatively different outcomes when their willingness-to-pay is elicited in terms of temporal (versus monetary) expenditures (Study 4). This scope neglect in temporal expenditures also extends to non-market outcomes (Study 5).
[ to cite ]:
Ritesh Saini (2010) ,"Scope Neglect in Spending Time", in NA - Advances in Consumer Research Volume 37, eds. Margaret C. Campbell, Jeff Inman, and Rik Pieters, Duluth, MN : Association for Consumer Research, Pages: 616-617 .