Opportunity Costs Neglect in the Tradeoff Between Time and Money

Subimal Chatterjee, Binghamton University, USA
Dipankar Rai, Binghamton University, USA
Timothy Heath, ESSEC Business School, France
This research shows that when consumers trade-off between two fungible currencies (time, and money), they may be unaware of the opportunity costs of these currencies, but they have some idea as to what matters more to them, saving time or saving money. Consequently, sensitizing them to the opportunity cost of time (money) systematically biases them towards the less time-consuming, but more expensive (cheaper, but more time-consuming) option only if saving time (money) matters more to them in the context of the focal decision.
[ to cite ]:
Subimal Chatterjee, Dipankar Rai, and Timothy Heath (2011) ,"Opportunity Costs Neglect in the Tradeoff Between Time and Money ", in NA - Advances in Consumer Research Volume 38, eds. Darren W. Dahl, Gita V. Johar, and Stijn M.J. van Osselaer, Duluth, MN : Association for Consumer Research.