There Is Light At the End of the Tunnel: Helping Consumers Avoid Financial Decision Making Biases By Inducing Broad Bracketing

Many financial decision-making biases arise from consumers’ tendency to consider decisions in isolation. To induce consumers to spontaneously bracket multiple decisions together, we asked them to identify all the choices that a person makes in a short duration. The manipulation reduced risk aversion, loss aversion, ambiguity aversion, and inter-temporal impulsivity.



Citation:

Krishna Savani, Elke Weber, and Eric Johnson (2011) ,"There Is Light At the End of the Tunnel: Helping Consumers Avoid Financial Decision Making Biases By Inducing Broad Bracketing", in NA - Advances in Consumer Research Volume 39, eds. Rohini Ahluwalia, Tanya L. Chartrand, and Rebecca K. Ratner, Duluth, MN : Association for Consumer Research, Pages: 180.

Authors

Krishna Savani, Columbia University, USA
Elke Weber, Columbia University, USA
Eric Johnson, Columbia University, USA



Volume

NA - Advances in Consumer Research Volume 39 | 2011



Share Proceeding

Featured papers

See More

Featured

Consumer Responses to Premium Framing: Better to Offer the Target Product as a Free Gift?

Maggie Wenjing Liu, Tsinghua University
Lu Yang, Tsinghua University
Yuhuang Zheng, Tsinghua University

Read More

Featured

A3. Why People Still Do Not Trust Algorithmic Advice in Decision Making

JAEWON HWANG, Sejong University
Dong Il Lee, Sejong University

Read More

Featured

Always Trust in Your Friends? Cross-cultural Effects of Review Source and Incentives on Trustworthiness

Dionysius Ang, Leeds University Business School

Read More

Engage with Us

Becoming an Association for Consumer Research member is simple. Membership in ACR is relatively inexpensive, but brings significant benefits to its members.