Attenuating Endowment Effect With Venmo: Online Payment Systems Make It a Pleasure to Pay

The endowment effect where sellers ask for higher prices than buyers’ willingness to pay causes market inefficiency. We demonstrate an easy-to-implement market strategy to solve the problem. The use of online payment systems increases buyers’ willingness to pay and thus attenuates endowment effect.



Citation:

Liang Huang and Jennifer Savary (2018) ,"Attenuating Endowment Effect With Venmo: Online Payment Systems Make It a Pleasure to Pay", in NA - Advances in Consumer Research Volume 46, eds. Andrew Gershoff, Robert Kozinets, and Tiffany White, Duluth, MN : Association for Consumer Research, Pages: 600-602.

Authors

Liang Huang, University of Arizona, USA
Jennifer Savary, University of Arizona, USA



Volume

NA - Advances in Consumer Research Volume 46 | 2018



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Attenuating Endowment Effect with Venmo: Online Payment Systems Make it a Pleasure to Pay

Liang Huang, University of Arizona, USA
Jennifer Savary, University of Arizona, USA

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