9 - Decision analysis from a neo-Calvinist point of view  pp. 216-233

Decision analysis from a neo-Calvinist point of view

By Drazen Prelec

Image View Previous Chapter Previous Chapter



By neo-Calvinist point of view, I refer to analysis focused on assessing the diagnostic significance of policy decisions, rather than establishing the direct consequences of decisions. Diagnostic significance refers to information revealed by an irrevocable act, information about some underlying collective value or belief. Decisions, especially those that break with precedent, can expose the tradeoffs between competing values, tradeoffs that society tacitly endorses. In these situations, the role of analysis might be not so much to recommend a course of action, but to clarify what is at stake, the ‘diagnostic risk’ as it were, created by the choice.

Here I outline a simple framework for how this analysis might proceed. The core ideas are taken from an earlier self-signalling model of choice (Bodner and Prelec, 2003; Prelec and Bodner, 2003). That model postulated a distinction between two types of utility: utility that flows directly from the causal consequences of choice, and diagnostic utility, which is the pleasure or pain derived from learning something positive or negative about one’s own internal state, disposition, ability or future prospects. People are presumed to be chronically uncertain about where they stand with respect to these broad attributes, which in turn makes their choices diagnostic. Anticipation of diagnostic reward, or fear of diagnostic pain, promotes self-control and inhibits self-indulgence.

9

Reference Title: References

Reference Type: reference-list

Akerlof, G. A. and Kranton, R. E. (2010). Identity Economics: How Our Identities Shape Our Work, Wages, and Well-Being. Princeton University Press.
Allais, M. (1953). Le Comportement de l’Homme Rationnel Devant le Risque: Critique des Postulats et Axiomes de l’Ecole Américaine. Econometrica 21: 503–46.
Allais, M. (1990). Allais Paradox. In J. Eatwell , M. Milgate and P. Newman (eds.), The New Palgrave: Utility and Probability. New York: Macmillan, pp. 3–9.
Bruni, L. and Sugden, R. (2007). The Road Not Taken: How Psychology was Removed from Economics, and How it Might be Brought Back. Economic Journal 117: 146–73.
Camerer, C. , Issacharoff, S. , Loewenstein, G. , O’Donoghue, T. and Rabin, M. (2003). Regulation for Conservatives: Behavioral Economics and the Case for ‘Asymmetric Paternalism’. University of Pennsylvania Law Review 1151: 1211–54.
Ellsberg, D. (1961). Risk, Ambiguity and the Savage Axioms. Quarterly Journal of Economics 75: 643–69.
Grether, D. M. and Plott, C. R. (1979). Economic Theory of Choice and the Preference Reversal Phenomenon. American Economic Review 69: 623–38.
Kahneman, D. (2011). Thinking, Fast and Slow. London: Allen Lane.
Kahneman, D. and Tversky, A. (1979). Prospect Theory: An Analysis of Decision Under Risk. Econometrica 47: 263–91.
Lichtenstein, S and Slovic, P. (1971). Reversals of Preferences Between Bids and Choices in Gambling Decisions. Journal of Experimental Psychology 89: 46–55.
Simon, H. A. (1956). Rational Choice and the Structure of the Environment. Psychological Review 63: 129–38.
Thaler, R. H. (1994). The Winner’s Curse: Paradoxes and Anomalies of Economic Life. Princeton University Press.
Thaler, R. H. and Sunstein, C. R. (2008). Nudge: Improving Decisions about Health, Wealth and Happiness. New Haven: Yale University Press.
Titmuss, R. (1970). The Gift Relationship: From Human Blood to Social Policy. London: New Press.

Reference Title: References

Reference Type: reference-list

Ariely, D. (2008). Predictably Irrational: The Hidden Forces that Shape Our Decisions. New York: HarperCollins.
Beck, U. (1992). Risk Society: Towards a New Modernity. London: Sage.
Bernasconi, M. and Loomes, G. (1992). Failures of the Reduction Principle in an Ellsberg-Type Problem. Theory and Decision 32: 77–100.
Cabinet Office/Department of Health (2007). A National Framework for Responding to an Influenza Pandemic. London: Department of Health.
Curley, S. P. and Yates, F. J. (1989). An Empirical Evaluation of Descriptive Models of Ambiguity Reactions in Choice Situations. Journal of Mathematical Psychology 33: 397–427.
Department of Health (2002). Getting Ahead of the Curve: A Strategy for Combating Infectious Diseases. London: Department of Health.
Einhorn, H. J. and Hogarth, R. M. (1986). Decision Making Under Ambiguity. Journal of Business 59: S225–S250.
Ellsberg, D. (1961). Risk, Ambiguity and the Savage Axioms. Quarterly Journal of Economics 75: 643–69.
Epstein, H. (2011). Flu Warning: Beware the Drug Companies! New York Review of Books, 11 May.
Ferguson, N. M. , Cummings, D. A. T. , Fraser, C. , Cajka, J. C. , Cooley, P. C. and Burke, D. S. (2006). Strategies for Mitigating an Influenza Pandemic. Nature 442: 448–52.
Henry, C . (2006). Decision-Making Under Scientific, Political and Economic Uncertainty. Laboratoire d’Econométrie Cahier No. DDX-06-12. Paris: Ecole Polytechnique.
Henry, C. and Henry, M . (2002). Formalization and Applications of the Precautionary Principle. Laboratoire d’Econométrie Cahier No. 2002-008. Paris: Ecole Polytechnique.
Hine, D. (2010). An Independent Review of the UK Response to the 2009 Influenza Pandemic [Hine Review]. London: The Cabinet Office.
Holland Jones, J. and Salathe, M. (2009). Early Assessment of Anxiety and Behavioral Response to Novel Swine-Origin Influenza A (H1N1). PLoS One 4: e8032.
Klein, R. (2000). The Politics of Risk: The Case of BSE. BMJ 321: 1091–2.
Loomes, G. C. and Sugden, R. (1982). Regret Theory: An Alternative Theory of Rational Choice under Uncertainty. Economic Journal 92: 805–24.
O’Riordan, T. and Jordan, A. (1995). The Precautionary Principle in Contemporary Environmental Politics. Environmental Values 4: 191–212.
Oxford, J. , Lambkin-Williams, R. and Mann, A. (2007). The Threat of Avian Influenza H5N1: ‘do we have the tools for the job?’ Antiviral Chemistry and Chemotherapy 18: 71–4.
Phillips, N. (chairman) (2000). The BSE Inquiry Vol. 1: Findings and Conclusions [Phillips Report]. London: Stationery Office.
Rubin, G. J. , Amlot, R. , Page, L. and Wessely, S. (2009). Public Perceptions, Anxiety, and Behaviour Change in Relation to the Swine Flu Outbreak: Cross Sectional Telephone Survey. BMJ 339: b2651.
Sunstein, C. R. (2005). Laws of Fear: Beyond the Precautionary Principle. Cambridge University Press.
The Guardian (2001). A catalogue of failures that discredits the whole system: there must be an inquiry into the foot and mouth saga. 16 May.
The Guardian 2010 (Swine) flu response was £1.2 billion well spent, review finds. 1 July.
The Independent (2010). WHO flu experts reject charges of business influence in pandemic. 15 April.
The Independent (2010). Governments accused of panicking over swine flu. 22 April.
The Independent (2010). A little knowledge: how research scientists were caught out by swine flu. 3 May.

Reference Title: References

Reference Type: reference-list

Audit Commission and Healthcare Commission (2008). Is the Treatment Working? London: Audit Commission ().
Auditor General for Wales (2005). NHS Waiting Times in Wales. Volume 1 – The Scale of the Problem. Cardiff: The Stationery Office ().
Berwick, D. M. , James, B. and Coye, M. J. (2003). Connections Between Quality Measurement and Improvement. Medical Care 41(1, suppl.): I-30–I-38.
Besley, T. J. , Bevan, G. and Burchardi, K. B. (2009). Naming and Shaming: The Impacts of Different Regimes on Hospital Waiting Times in England and Wales. Discussion Paper No. 7306. London: Centre for Economic Policy Research.
Bevan, G. (2009). Have Targets Done More Harm Than Good in the English NHS? No. BMJ 338: a3129.
Bevan, G. (2010). Approaches and Impacts of Different Systems of Assessing Hospital Performance. Journal of Comparative Policy Analysis 12(1/2): 33–56.
Bevan, G. and Cornwell, J. (2006). Structure and Logic of Regulation and Governance of Quality of Health Care: Was OFSTED a Model for the Commission for Health Improvement? Health Economics, Policy and Law 1(4): 343–70.
Bevan, G. and Hamblin, R. (2009). Hitting and Missing Targets by Ambulance Services for Emergency Calls: Impacts of Different Systems of Performance Measurement Within the UK. Journal of the Royal Statistical Society (A) 172(1): 1–30 ().
Bevan, G. and Hood, C. (2006). What’s Measured is What Matters: Targets and Gaming in the English Public Health Care System. Public Administration 84(3): 517–38.
Bevan, G. and Skellern, M. (2011). Does Competition Between Hospitals Improve Clinical Quality? A Review of Evidence from Two Eras of Competition in the English NHS. BMJ 343: d6470.
Botti, S. and Iyengar, S. S. (2004). The Psychological Pleasure and Pain of Choosing: When People Prefer Choosing at the Cost of Subsequent Satisfaction. Journal of Personality and Social Psychology 87(3): 312–26.
Botti, S. and Iyengar, S. S. (2006). The Dark Side of Choice: When Choice Impairs Social Welfare. American Marketing Association 25(1): 24–38.
Boyce, T. , Dixon, A. , Fasolo, B. and Reutskaja, E. (2010). Choosing a High-Quality Hospital: The Role of Nudges, Scorecard Design and Information. London: The King’s Fund ().
Brereton, L. and Vasoodaven, V. (2010). The Impact of the NHS Market. London: Civitas ().
Burgess, S. , Wilson, D. and Worth, J. (2010). A Natural Experiment in School Accountability: The Impact of School Performance Information on Pupil Progress and Sorting. Working Paper No. 10/246. Bristol: The Centre for Market and Public Organisation.
Chassin, M. R. (1996). Improving the Quality of Health Care: What Strategy Works? Bulletin of the New York Academy of Medicine 73(1): 81–91 ().
Chassin, M. R. (2002). Achieving and Sustaining Improved Quality: Lessons from New York State and Cardiac Surgery. Health Affairs 21(4): 40–51.
Chernev, A. (2003). When More is Less and Less is More: The Role of Ideal Point Availability and Assortment in Consumer Choice. Journal of Consumer Research 30(2): 170–83.
Connolly, S. , Bevan, G. and Mays, N. (2011). Funding and Performance of Healthcare Systems in the Four Countries of the UK before and after Devolution. Revised Edition. London: The Nuffield Trust.
Cooper, Z. , Gibbons, S. , Jones, S. and McGuire, A. (2011). Does Hospital Competition Save Lives? Evidence from the English NHS Patient Choice Reforms. Economic Journal 121: F228–F260.
Department for Education (1994–2011). Performance Tables ().
Dixon, A. , Robertson, R. , Appleby, J. , Burge, P. , Devlin, N. and Magee, H. (2010). Patient Choice: How Patients Choose and How Providers Respond. London: King’s Fund.
Dranove, D. K. , McClellan, D. and Satterthwaite, M. (2003). Is More Information Better? The Effects of ‘Report Cards’ on Health Care Providers. Journal of Political Economy 111: 555–8.
Fung, C. H. , Lim, Y.-W. , Mattke, S. , Damberg, C. and Shekelle, P. G. (2008). Systematic Review: The Evidence that Publishing Patient Care Performance Data Improves Quality of Care. Annals of Internal Medicine 148: 111–23.
Gaynor, M. S. , Propper, C. and Moreno-Serra, R. (2010). Death by Market Power: Reform, Competition and Patient Outcomes in the National Health Service. Working Paper No. w16164. Cambridge: NBER.
Gigerenzer, G. (2010). Moral Satisficing: Rethinking Moral Behavior as Bounded Rationality. Topics in Cognitive Science 2: 528–54.
Hibbard, J. H. (2008). What Can We Say about the Impact of Public Reporting? Inconsistent Execution Yields Variable Results. Annals of Internal Medicine 148: 160–1.
Hibbard, J. H. , Stockard, J. and Tusler, M. (2003). Does Publicizing Hospital Performance Stimulate Quality Improvement Efforts? Health Affairs 22(2): 84–94.
Hibbard, J. H. , Stockard, J. and Tusler, M. (2005). Hospital Performance Reports: Impact on Quality, Market Share, and Reputation. Health Affairs 24(4): 1150–60.
Higgins, E. T. (1997). Beyond Pleasure and Pain. American Psychologist 52: 1280–300.
Holmstrom, B. and Milgrom, P. (1991). Multi-Task Principal-Agent Analyses: Linear Contracts, Asset Ownership and Job Design. Journal of Law, Economics and Organisation 7: 24–52.
Hood, C. (2007). Public Service Management by Numbers: Why Does it Vary? Where Has it Come From? What are the Gaps and the Puzzles? Public Money and Management 27(2): 95–102.
Iyengar, S. S. and Lepper, M. (2000). When Choice is Demotivating: Can One Desire Too Much of a Good Thing? Journal of Personality and Social Psychology 79: 995–1006.
Kahneman, D. and Knetsch, J. L. (1992). Valuing Public Goods: The Purchase of Moral Satisfaction. Journal of Environmental Economics and Management 22: 57–70.
Kahneman, D. and Tversky, A. (1979). Prospect Theory: An Analysis of Decision under Risk. Econometrica 47: 263–91.
Kluger, A. N. and DeNisi, A. (1998). Feedback Interventions: Toward the Understanding of a Double-Edged Sword. Current Directions in Psychological Science 7(3): 67–72.
Le Grand, J. (2003). Motivation, Agency and Public Policy: Of Knights and Knaves, Pawns and Queens. Oxford University Press.
Le Grand, J. (2007). The Other Invisible Hand: Delivering Public Services Through Choice and Competition. Princeton University Press.
Loewenstein, G. (1999). Is More Choice Always Better? Social Security Brief 7: 1–7.
Marshall, M. N. , Shekelle, P. G. , Leatherman, S. and Brook, R. H. (2000). The Public Release of Performance Data: What Do We Expect to Gain? A Review of the Evidence. Journal of the American Medical Association 283(14): 1866–74.
Mazar, N. and Ariely, D. (2006). Dishonesty in Everyday Life and its Policy Implications. Journal of Public Policy and Marketing 25(1): 117–26.
Propper, C. , Sutton, M. , Whitnall, C. and Windmeijer, F. (2008). Did ‘Targets and Terror’ Reduce Waiting Times in England for Hospital Care? The B.E. Journal of Economic Analysis and Policy 8(2): article 5 ().
Propper, C. , Sutton, M. , Whitnall, C. and Windmeijer, F. (2010). Incentives and Targets in Hospital Care: Evidence from a Natural Experiment. Journal of Public Economics 94(3–4): 318–35.
Samuelson, W. and Zeckhauser, R. (1988). Status Quo Bias in Decision Making. Journal of Risk and Uncertainty 1: 7–59.
Secretary of State for Health (2010). Equity and Excellence: Liberating the NHS. Cm 7881. London: Department of Health ().
Simonson, T. and Nye, P. (1992). The Effect of Accountability on Susceptibility to Decision Errors. Organizational Behavior and Human Decision Processes 51(3): 416–66.
Sunstein, C. R. (2005). Moral Heuristics. Behavioral and Brain Sciences 28(4): 531–42.
Teelken, C. (2000). Market Forces in Education: A Comparative Perspective in England and Scotland. Scottish Educational Review 32(1): 142–55.
Tetlock, P. E. (1983). Accountability and Complexity in Thought. Journal of Personality and Social Psychology: Attitudes and Social Cognition 45: 74–83.
Thaler, R. H. and Sunstein, C. R. (2008). Nudge: Improving Decisions about Health, Wealth and Happiness. New Haven: Yale University Press.
Tversky, A. and Kahneman, D. (1991). Loss Aversion in Riskless Choice: A Reference-Dependent Model. Quarterly Journal of Economics 106: 1039–61.

Reference Title: References

Reference Type: reference-list

Bandura, A. (1977). Self-Efficacy: Toward a Unifying Theory of Behavioral Change. Psychology Review 84(2): 191–215.
BBC (2002). Irish bag tax hailed success. BBC News (, accessed 10 November 2007).
BBC (2006). Chief Executive of Tesco on how the scheme will work. BBC News (, accessed 4 August 2006).
Brogan, B . (2008). Gordon Brown gives supermarkets one year to start charging for plastic bags . . . or else. Daily Mail (, accessed 29 February 2008).
de Charms, R. (1968). Personal Causation: The Internal Affective Determinants of Behavior. New York: Academic Press.
De Young, R. (1996). Some Psychological Aspects of Reduced Consumption Behavior: The Role of Intrinsic Satisfaction and Competence Motivation. Environment and Behavior 28(3): 358–409.
Deci, E. L. , Eghrari, H. , Patrick, B. and Leone, D. (1994). Facilitating Internalization: The Self-Determination Theory Perspective. Journal of Personality 62(1): 120–42.
Deci, E. L. and Ryan, R. (2000). The ‘What’ and ‘Why’ of Goal Pursuits: Human Needs and the Self-Determination of Behavior. Psychological Inquiry 11(4): 227–68.
Dee, J. and Barclay, V. (2005). Plastic Check-Out Bag Use in Non-Supermarket Retail Outlets. Australian Government: Department of Environment, Waste, Heritage and the Arts (, accessed November 2007).
Defra (2006). Local Environmental Quality: Plastic Bags (, accessed 30 March 2007).
Environment Australia (2002). Plastic Shopping Bags – Analysis of Levies and Environmental Impacts: Final Report. Prepared in association with RMIT Centre for Design and Eunomia Research and Consulting Ltd (, accessed 5 November 2007).
Fiorillo, D . (2007). Do Monetary Rewards Undermine Intrinsic Motivations of Volunteers? Some Empirical Evidence for Italian Volunteers. Munich Personal RePEc Archive (, accessed April 2008).
Frey, B. S. (1997). Integration into Economics. In B. S. Frey (ed.), Not Just for the Money: An Economic Theory of Personal Motivation. Cheltenham: Edward Elgar.
Frey, B. S. (1999). Morality and Rationality in Environmental Policy. Journal of Consumer Policy 22: 395–417.
Frey, B. S. (2001). Inspiring Economics: Human Motivation in Political Economy. Cheltenham: Edward Elgar.
Gneezy, U. and Rustichini, A. (2000). A Fine is a Price. The Journal of Legal Studies 29(1): 1–17.
Koestner, R. , Houlfort, N. , Paquet, S. and Knight, C. (2001). On the Risks of Recycling Because of Guilt: An Examination of the Consequences of Introjection. Journal of Applied Social Psychology 31(12): 2545–60.
Le Grand, J. (2006). Motivation, Agency, and Public Policy: Of Knights and Knaves, Pawns and Queens. Oxford University Press.
Litter Monitoring Body (2003). The National Litter Pollution Monitoring System – System Result (, accessed November 2011).
National Plastic Bags Working Group (2002). Plastic Shopping Bags in Australia: Report to the National Packaging Covenant Council (, accessed November 2007).
Pelletier, L. G. , Dion, S. , Tuson, K. and Green-Demers, I. (1999). Why Do People Fail to Adopt Environmental Protective Behaviors? Toward a Taxonomy of Environmental Amotivation. Journal of Applied Social Psychology 29(12): 2481–504.
Pelletier, L. G. , Tuson, K. M. , Green-Demers, I. , Noels, K. and Beaton, A. M. (1998). Why Are You Doing Things for the Environment? The Motivation Toward the Environment Scale (MTES). Journal of Applied Social Psychology 28(5): 437–68.
Reich, J. W. and Robertson, J. L. (1979). Reactance and Norm Appeal in Anti-Littering Messages. Journal of Applied Psychology 9(1): 91–101.
Scottish Government (2008). Calls to end ‘plastic bag culture’. The Scottish Government: News (, accessed 21 May 2008).
Sustainable Development Commission (2006). I Will if You Will: Towards Sustainable Consumption. Sustainable Development Commission and National Consumer Council.
Thøgersen, J. (1994). Monetary Incentives and Environmental Concern: Effects of a Differentiated Garbage Fee. Journal of Consumer Policy 17(4): 407–42.
Thøgersen, J. (2003). Monetary Incentives and Recycling: Behavioural and Psychological Reactions to a Performance-Dependent Garbage Fee. Journal of Consumer Policy 26( 2): 197–228.
Thøgersen, J. (2005). How May Consumer Policy Empower Consumers for Sustainable Lifestyles? Journal of Consumer Policy 28(2): 143–77.
Thøgersen, J. and Møller, B. (2004). Breaking Car-Use Habits: The Effectiveness of Economic Incentives. 3rd International Conference on Traffic & Transport Psychology, ICTTP, Nottingham, 5–9 September.
Titmuss, R. (1971). The Gift Relationship: From Human Blood to Social Policy. London: Allen & Unwin.
Vallerand, R. J. and Reid, G. (1984). On the Causal Effects of Perceived Competence on Intrinsic Motivation: A Test of Cognitive Evaluation Theory. Journal of Sport and Exercise Psychology 6(1): 94–102.

Reference Title: References

Reference Type: reference-list

Associated Press (1994). 38,000 shoes stand for loss in lethal year. The Register-Guard, 21 September: 6A.
Batson, C. D. , O’Quin, K. , Fultz, J. , Vanderplas, M. and Isen, A. (1983). Self-Reported Distress and Empathy and Egoistic versus Altruistic Motivation for Helping. Journal of Personality and Social Psychology 45: 706–18.
Clements, D. H. and Sarama, J. (2007). Early Childhood Mathematics Learning. In J. F. K. Lester (ed.), Second Handbook of Research on Mathematics Teaching and Learning. New York: Information Age, pp. 461–555.
Dehaene, S. (1997). The Number Sense: How the Mind Creates Mathematics. New York: Oxford University Press.
Dehaene, S. (2001). Précis of The Number Sense. Mind and Language 16: 16–36.
Dillard, A. (1999). For the Time Being. New York: Alfred A. Knopf.
Farmer, P. (2005). Never Again? Reflections on Human Values and Human Rights. Tanner Lectures on Human Values, Salt Lake City, Utah ().
Feigenson, L. , Dehaene, S. and Spelke, E. (2004). Core Systems of Number. Trends in Cognitive Sciences 8: 307–14.
Fetherstonhaugh, D. , Slovic, P. , Johnson, S. M. and Friedrich, J. (1997). Insensitivity to the Value of Human Life: A Study of Psychophysical Numbing. Journal of Risk and Uncertainty 14: 283–300.
Haidt, J. (2001). The Emotional Dog and its Rational Tail: A Social Intuitionist Approach to Moral Judgment. Psychological Review 108: 814–34.
Just, R. (2008). The Truth Will Not Set You Free: Everything We Know about Darfur and Everything We’re Not Doing about It. New Republic, August: 36–47.
Kingsolver, B. (1995). High Tide in Tucson. New York: HarperCollins.
Kogut, T. and Ritov, I. (2005). The ‘Identified Victim’ Effect: An Identified Group, or Just a Single Individual? Journal of Behavioral Decision Making 18: 157–67.
Kristof, N. D. (2007). Save the Darfur puppy. New York Times, 10 May.
Libertus, M. E. and Brannon, E. M. (2009). Behavioral and Neural Basis for Number Sense in Infancy. Current Directions in Psychological Science 18: 346–51.
Lifton, R. J. (1967). Death in Life: Survivors of Hiroshima. New York: Random House.
Peters, E. , Slovic, P. , Västfjäll, D. and Mertz, C. K. (2008). Intuitive Numbers Guide Decisions. Judgment and Decision Making 3: 619–35.
Power, S. (2003). A Problem from Hell: America and the Age of Genocide. New York: Harper Perennial.
Schroeder, P. and Schroeder-Hildebrand, D. (2004). Six Million Paper Clips: The Making of a Children’s Holocaust Museum. Minneapolis, MN: Kar-Ben.
Slovic, P. (2007). ‘If I look at the mass I will never act’: Psychic Numbing and Genocide. Judgment and Decision Making 2: 79–95.
Slovic, P. (2010). The More Who Die, the Less We Care. In E. Michel-Kerjan and P. Slovic (eds.), The Irrational Economist: Making Decisions in a Dangerous World. New York: Public Affairs Press, pp. 30–40.
Slovic, P. and Västfjäll, D. (2010). Affect, Moral Intuition, and Risk. Psychological Inquiry: An International Journal for the Advancement of Psychological Theory 21: 387–98.
Slovic, P. , Zionts, D. , Woods, A. K. , Goodman, R. and Jinks, D. (2013). Psychic Numbing and Mass Atrocity. In E. Shafir (ed.), The Behavioral Foundations of Public Policy. Princeton University Press, pp. 126–42.
Small, D. A. , Loewenstein, G. and Slovic, P. (2007). Sympathy and Callousness: The Impact of Deliberative Thought on Donations to Identifiable and Statistical Victims. Organizational Behavior and Human Decision Processes 102: 143–53.
Trope, Y. and Liberman, N. (2003). Temporal Construal. Psychological Review 110: 403–21.
UN General Assembly (1948). Convention on the Prevention and Punishment of the Crime of Genocide ().
UN General Assembly (2005). Resolution adopted by the General Assembly: 60/1. 2005 World Summit Outcome ().
Västfjäll, D. , Peters, E. and Slovic, P. (2010). Compassion Fatigue: Donations and Affect are Greatest for a Single Child in Need (manuscript in preparation).
Vendantam, S. (2010). The Hidden Brain: How Our Unconscious Minds Elect Presidents, Control Markets, Wage Wars, and Save Our Lives. New York: Spiegel & Grau.

Reference Title: References

Reference Type: reference-list

Acland, D. and Levy, M. R . (2010). Habit Formation, Naiveté, and Projection Bias in Gym Attendance. Mimeo.
Akerlof, G . (1991). Procrastination and Obedience. American Economic Review 81(2): 1–19.
Badger, G. J. , Bickel, W. K. , Giordano, L. A. , Jacobs, E. A. , Loewenstein, G. and Marsch, L. (2007). Altered States: The Impact of Craving on the Valuation of Current and Future Opioids. Journal of Health Economics 26(5): 865–76.
Baumeister, R. F. , Heatherton, T. F . and Tice, D. M . (1994). Losing Control: How and Why People Fail at Self-Regulation. San Diego, CA: Academic Press.
Becker, G. S. and Murphy, K. M. (1988). A Theory of Rational Addiction. Journal of Political Economy 96(4): 675–700.
Becker, G. S. , Grossman, M. and Murphy, K. M. (1991). Rational Addiction and the Effect of Price on Consumption. American Economic Review 81(2): 237–41.
Becker, G. S. , Grossman, M. and Murphy, K. M. (1994). An Empirical Analysis of Cigarette Addiction. American Economic Review 84(3): 396–418.
Bernheim, B. D. and Rangel, A . (2004). Addiction and Cue-Triggered Decision Processes. American Economic Review 94(5): 1558–90.
Charness, G. and Gneezy, U . (2009). Incentives to Exercise. Econometrica 77(3): 909–31.
Gilbert, D. T. , Gill, M. J . and Wilson, T. D . (2002). The Future is Now: Temporal Correction in Affective Forecasting. Organizational Behavior and Human Decision Processes 88(1): 430–44.
Giordano, L. , Bickel, W. K. , Lowenstein, G. , Jacobs, E. A. , Marsch, L. and Badger, G. J . (2002). Mild Opioid Deprivation Increases the Degree that Opioid-Dependent Outpatients Discount Delayed Heroin and Money. Psychopharmacology 163: 174–82.
Glied, S. (2002). Youth Tobacco Control: Reconciling Theory and Empirical Evidence. Journal of Health Economics 21(1): 117–35.
Glied, S. (2003). Is Smoking Delayed Smoking Averted? American Journal of Public Health 93(3): 412–16.
Gruber, J . (2001). Youth Smoking in the 1990s: Why Did it Rise and What are the Long-Run Implications? American Economic Review 91(2): 85–90.
Gruber, J. and Köszegi, B . (2001). Is Addiction ‘Rational’? Theory and Evidence. Quarterly Journal of Economics 116(4): 1261–303.
Gruber, J. and Köszegi, B . (2004). Tax Incidence When Individuals are Time-Consistent: The Case of Cigarette Excise Taxes. Journal of Public Economics 88(9–10): 1959–87.
Gruber, J. and Mullainathan, S . (2005). Do Cigarette Taxes Make Smokers Happier? Advances in Economic Analysis and Policy 5(1): article 4.
Herrnstein, R. J. and Prelec, D. (1992). A Theory of Addiction. In G. Loewenstein and J. Elster (eds.), Choice Over Time. New York: Russell Sage Foundation, pp. 331–60.
Laibson, D . (1997). Golden Eggs and Hyperbolic Discounting. Quarterly Journal of Economics 112(2): 443–77.
Levy, M. R. (2009). An Empirical Analysis of Biases in Cigarette Addiction. Mimeo.
Loewenstein, G. , O’Donoghue, T. and Rabin, M . (2003). Projection Bias in Predicting Future Utility. Quarterly Journal of Economics 118(4): 1209–48.
Nisbett, R. E. and Kanouse, D. E. (1969). Obesity, Food Deprivation and Supermarket Shopping Behavior. Journal of Personality and Social Psychology 12(4): 281–94.
O’Donoghue, T. and Rabin, M. (1999a). Doing It Now or Later. American Economic Review 89(1): 103–24.
O’Donoghue, T. and Rabin, M. (1999b). Addiction and Self Control. In J. Elster (ed.), Addiction: Entries and Exits. New York: Russell Sage Foundation.
O’Donoghue, T. and Rabin, M. (2000a). The Economics of Immediate Gratification. Journal of Behavioral Decision Making 13(2): 233–50.
O’Donoghue, T. and Rabin, M. (2000b). Addiction and Present-Biased Preferences. Mimeo.
O’Donoghue, T. and Rabin, M. (2006). Optimal Sin Taxes. Journal of Public Economics 90(10–11): 1825–49.
Orphanides, A. and Zervos, D. (1995). Rational Addiction with Learning and Regret. Journal of Political Economy 103: 739–58.
Pollak, R. A . (1970). Habit Formation and Dynamic Demand Functions. Journal of Political Economy 78(4): 745–63.
Read, D. and van Leeuwen, B. (1998). Predicting Hunger: The Effects of Appetite and Delay on Choice. Organizational Behavior and Human Decision Processes 76(2): 189–205.
Wang, R. (2007). The Optimal Consumption and the Quitting of Harmful Addictive Goods. The B.E. Journal of Economic Analysis and Policy 7(1): article 15.
Wordsworth, William . (1807). “My Heart Leaps Up When I Behold,” in Poems, in Two Volumes. London: Longman, Hurst, Rees, and Orme.

Reference Title: References

Reference Type: reference-list

Brinkley, C. L. (2006). Stop Automaker Discovery Abuse. Trial 42: 20–8.
Cain, D. M. , Loewenstein, G. and Moore, D. A. (2005). The Dirt on Coming Clean: Perverse Effects of Disclosing Conflicts of Interest. The Journal of Legal Studies 34: 1–25.
Cain, D. M. , Loewenstein, G. and Moore, D. A. (2011). When Sunlight Fails to Disinfect: Understanding the Perverse Effects of Disclosing Conflicts of Interest. Journal of Consumer Research 37: 836–57.
Church, B. K. and Kuang, X. J. (2009). Conflicts of Interest, Disclosure, and (Costly) Sanctions: Experimental Evidence. The Journal of Legal Studies 38: 505–32.
Dana, J. , Cain, D. M. and Dawes, R. (2006). What You Don’t Know Won’t Hurt Me: Costly (but Quiet) Exit in Dictator Games. Organizational Behavior and Human Decision Processes 100: 193–201.
Dana, J. D. and Loewenstein, G. (2003). A Social Science Perspective on Gifts to Physicians from Industry. Journal of the American Medical Association 290: 252–5.
Fung, A. , Graham, M. and Weil, D. (2007). Full Disclosure: The Perils and Promise of Transparency. Cambridge University Press.
Hampson, L. A. , Agrawal, M. , Joffe, S. , Gross, C. P. , Verter, J. and Emanuel, E. J. (2006). Patients’ Views on Financial Conflicts of Interest in Cancer Research Trials. New England Journal of Medicine 355: 2330–7.
Koch, C. and Schmidt, C. (2009). Disclosing Conflict of Interest: Do Experience and Reputation Matter? Accounting, Organizations, and Society 35: 95–107.
Monin, B. and Miller, D. T. (2001). Moral Credentials and the Expression of Prejudice. Journal of Personality and Social Psychology 81: 33–43.
Moore, D. A. , Loewenstein, G. and Bazerman, M. (eds.) (2005). Conflicts of Interest: Problems and Solutions from Law, Medicine, and Organizational Settings. Cambridge University Press.
Pearson, S. D. , Kleinman, K. , Rusinak, D. and Levinson, W. (2006). A Trial of Disclosing Physicians’ Financial Incentives to Patients. Archives of Internal Medicine 166: 623–8.
Robertson, C. (2010). Blind Expertise. New York University Law Review 85: 174–257.
Sah, S. and Loewenstein, G. (2012). Nothing to Declare: Disclosure Leads Advisors to Avoid Conflicts of Interest. Working paper.
Sah, S. , Loewenstein, G. and Cain, D. M. (2012). Insinuation Anxiety: Increased Pressure to Follow Less Trusted Advice after Disclosure of a Conflict of Interest. Working paper.
Sah, S. , Loewenstein, G. and Cain, D. M. (2013). The Burden of Disclosure: Increased Compliance with Distrusted Advice. Journal of Personality and Social Psychology 104: 289–304.
Tversky, A. and Kahneman, D. (1974). Judgment under Uncertainty: Heuristics and Biases. Science 185: 1124–31.
Weil, D. (2009). Targeted Transparency. Public Manager 38: 22–4.
Zhong, C. , Liljenquist, K. and Cain, D. M. (2009). Moral Self-Regulation: Licensing and Compensation. In D. D. Cremer (ed.), Psychological Perspectives on Ethical Behavior and Decision Making. Charlotte, NC: Information Age Publishing, pp. 75–89.

Reference Title: References

Reference Type: reference-list

Akerlof, G. A. and Kranton, R. E. (2005). Identity and the Economics of Organization. Journal of Economic Perspectives 19: 9–32.
Amabile, T. (1996). Creativity in Context: Update to the Social Psychology of Creativity. Boulder: Westview Press.
Amabile, T. (1998). How to Kill Creativity. Harvard Business Review 76(5): 76–87.
Argote, L. , McEvily, B. and Reagans, R. (2003). Managing Knowledge in Organizations: An Integrative Framework and Review of Emerging Themes. Management Science 49(4): 571–82.
Arrow, K. J. (1951). Individual Values and Social Choice. New York: Wiley.
Auriol, E. and Renault, R. (2001). Incentive Hierarchies. Annales d’Économie et de Statistique 63: 261–82.
Bebchuk, L. A. and Fried, J. (2004). Pay Without Performance: The Unfulfilled Promise of Executive Compensation. Cambridge, MA: Harvard University Press.
Becker, G. S. (1976). The Economic Approach to Human Behavior. University of Chicago Press.
Becker, G. S. (1993). Nobel Lecture: The Economic Way of Looking at Behavior. Journal of Political Economy 101: 385–409.
Bénabou, R. and Tirole, J. (2003). Intrinsic and Extrinsic Motivation. Review of Economic Studies 70: 489–520.
Besley, T. (2005). Notes on Honours. Mimeo. London School of Economics.
Besley, T. and Ghatak, M. (2008). Status Incentives. American Economic Review 98: 206–11.
Bourdieu, P. (1979). La Distinction: Critique Sociale du Jugement. Paris: Les Éditions de Minuit.
Braudy, L. (1986). The Frenzy of Renown: Fame and Its History. New York: Oxford University Press.
Brennan, G. and Pettit, P. (2004). The Economy of Esteem: An Essay on Civil and Political Society. Oxford University Press.
Campbell, D. T. (1976). Assessing the Impact of Planned Social Change. Occasional Paper Series 8. The Public Affairs Center, Dartmouth College.
Chrystal, K. , Mizen, A. and Mizen, P. D. (2003). Goodhart’s Law: Its Origins, Meaning and Implications for Monetary Policy. In P. D. Mizen (ed.), Central Banking, Monetary Theory and Practice: Essays in Honour of Charles Goodhart. vol. 1. Cheltenham: Edward Elgar, pp. 221–43.
Combs, J. , Hall, A. and Ketchen, D. (2006). How Much Do High-Performance Work Practices Matter? A Meta-Analysis of their Effects on Organizational Performance. Personnel Psychology 59: 501–28.
Cowen, T. (2000). What Price Fame? Cambridge, MA: Harvard University Press.
Dawes, R. M. (1988). Rational Choice in an Uncertain World. San Diego and New York: Harcourt Brace Jovanovich.
De Botton, A. (2004). Status Anxiety. New York: Pantheon Books.
Deci, E. L. , Koestner, R. and Ryan, R. M. (1999). A Meta-Analytic Review of Experiments Examining the Effects of Extrinsic Rewards on Intrinsic Motivation. Psychological Bulletin 125(6): 627–68.
Dubey, P. and Geanakoplos, J. (2005). Grading in Games of Status: Marking Exams and Setting Wages. Mimeo. Cowles Foundation, Yale University.
Ederer, F. and Patacconi, A. (2004). Interpersonal Comparisons, Status and Ambition in Organisations. Mimeo. Department of Economics, University of Oxford.
Elster, J. (1983). Sour Grapes: Studies in the Subversion of Rationality. Cambridge University Press.
English, J. F. (2005). The Economy of Prestige: Prizes, Awards, and the Circulation of Cultural Value. Cambridge, MA: Harvard University Press.
Fehr, E. and Gächter, S. (2000). Fairness and Retaliation: The Economics of Reciprocity. Journal of Economic Perspectives 14: 159–81.
Fehr, E. and Schmidt, K. (2004). Fairness and Incentives in a Multi-Task Principal–Agent Model. Scandinavian Journal of Economics 106: 453–74.
Fershtman, C. , Weiss, Y. and Hvide, H. (2001). Status Concerns and the Organization of Work. Mimeo. Eitan Berglas School of Economics, Tel Aviv University.
Frank, R. H. (1985). Choosing the Right Pond: Human Behavior and the Quest for Status. New York: Oxford University Press.
Frey, B. S. (1992). Tertium Datur: Pricing, Regulating and Intrinsic Motivation. Kyklos 45: 161–84.
Frey, B. S. (1997). Not Just for the Money: An Economic Theory of Personal Motivation. Cheltenham: Edward Elgar.
Frey, B. S. (2007). Awards as Compensation. European Management Review 4: 6–14.
Frey, B. S. and Eichenberger, R. (1994). Economic Incentives Transform Psychological Anomalies. Journal of Economic Behavior and Organization 23(2): 215–34.
Frey, B. S. and Jegen, R . (2001). Motivation Crowding Theory. Journal of Economic Surveys 15(5): 589–611.
Frey, B. S. and Neckermann, S. (2006). Auszeichnungen: Ein vernachlässigter Anreiz. Perspektiven der Wirtschaftspolitik 7: 271–84.
Frey, B. S. , Benz, M. and Stutzer, A. (2004). Introducing Procedural Utility: Not Only What, but Also How Matters. Journal of Institutional and Theoretical Economics 160(3): 377–401.
Frey, B. S. and Osterloh, M . (eds.) (2002). Successful Management by Motivation: Balancing Intrinsic and Extrinsic Incentives. Berlin: Springer Verlag.
Frey, B. S. and Osterloh, M . (2006). Evaluations: Hidden Costs, Questionable Benefits, and Superior Alternatives. IEW Working Paper No. 302. University of Zurich.
Gibbons, R. (1998). Incentives in Organizations. Journal of Economic Perspectives 12: 115–32.
Hirsch, F. (1976). Social Limits to Growth. Cambridge, MA: Harvard University Press.
Holmstrom, B. and Milgrom, P. (1991). Multitask Principal-Agent Analyses: Incentive Contracts, Asset Ownership, and Job Design. Journal of Law, Economics, and Organization 7(2): 24–52.
House of Commons, Select Committee on Public Administration (2004). A Matter of Honour: Reforming the Honours System. Fifth Report of Session 2003–04. London: Stationery Office.
Huberman, B. , Loch, C. and Öncüler, A. (2004). Status as a Valued Resource. Social Psychology Quarterly 67: 103–14.
Kahneman, D. , Slovic, P. and Tversky, A . (eds.) (1982). Judgement under Uncertainty: Heuristics and Biases. Cambridge University Press.
Latham, G. P. , Almost, J. , Mann, S. and Moore, C. (2005). New Developments in Performance Management. Organizational Dynamics 34: 77–87.
Lazear, E. and Rosen, S. (1981). Rank-Order Tournaments as Optimum Labor Contracts. Journal of Political Economy 89: 841–64.
Le Grand, J. (2003). Motivation, Agency, and Public Policy. Oxford University Press.
Lindenberg, S. (2001). Intrinsic Motivation in a New Light. Kyklos 54: 317–43.
Loch, C. , Yaziji, M. and Langen, C. (2001). The Fight for the Alpha Position: Channeling Status Competition in Organizations. European Management Journal 19: 16–25.
Marmot, M. G. (2004). The Status Syndrome: How Social Standing Affects our Health and Longevity. New York: Times Books/Henry Holt.
Neckermann, S. and Frey, B. S . (2007). Awards as Incentives. IEW Working Paper No. 334. University of Zurich.
Neely, A. D. and Neely, A. (eds.) (2002). Business Performance Measurement: Theory and Practice. Cambridge University Press.
Osterloh, M. and Frey, B. S. (2000). Motivation, Knowledge Transfer, and Organizational Forms. Organization Science 11: 538–50.
Osterloh, M. and Frey, B. S. (2006). Shareholders Should Welcome Knowledge Workers as Directors. Journal of Management and Governance 10(3): 325–45.
Phillips, Sir H. (2004). Review of the Honours System. London: Cabinet Office.
Prendergast, C. (1999). The Provision of Incentives in Firms. Journal of Economic Literature 37: 7–63.
Rosen, S. (1981). The Economics of Superstars. American Economic Review 71: 845–58.
Sen, A. (1970). Collective Choice and Social Welfare. San Francisco: Holden-Day; republished 1979, Amsterdam: North Holland.
Simon, H. A. (1982). Models of Bounded Rationality. Cambridge, MA: MIT Press.
Spence, A. (1974). Market Signaling. Cambridge, MA: Harvard University Press.
Stajkovic, A. and Luthans, F. (2003). Behavioral Management and Task Performance in Organizations: Conceptual Background, Meta-Analysis, and Test of Alternative Models. Personnel Psychology 56: 155–94.
Sururov, A. and van de Ven, J . (2006). Discretionary Rewards as a Feedback Mechanism. Working Paper 2006-16. Amsterdam Centre for Law & Economics.
Thaler, R. H. (1992). The Winner’s Curse: Paradoxes and Anomalies of Economic Life. New York: Free Press.
Young, H. P. (1993). The Evolution of Conventions. Econometrica 61: 57–84.

Reference Title: References

Reference Type: reference-list

Adkins, N. and Ozanne, J. (2005). The Low Literate Consumer. Journal of Consumer Research 32: 93–105.
Ariely, D. (2008). Predictably Irrational: The Hidden Forces that Shape our Decisions. London: HarperCollins.
Ariely, D. , Loewenstein, G. , and Prelec, D . (2003). Coherent Arbitrariness: Stable Demand Curves Without Stable Preferences. Quarterly Journal of Economics 118: 73–105.
Ashraf, N. , Karlan, D. and Yin, W . (2006). Tying Odysseus to the Mast: Evidence from a Commitment Savings Product in the Philippines. Quarterly Journal of Economics 121: 635–72.
Ausubel, L. M . (1999). Adverse Selection in the Credit Card Market. Unpublished manuscript.
Benartzi, S. (2001). Excessive Extrapolation and the Allocation of 401(k) Accounts to Company Stock. Journal of Finance 56: 1747–64.
Benartzi, S. and Thaler, R. H. (1995). Myopic Loss Aversion and the Equity Premium Puzzle. Quarterly Journal of Economics 110: 73–92.
Bernheim, B. D. and Garrett, D. M. (2003). The Effects of Financial Education in the Workplace: Evidence from a Survey of Households. Journal of Public Economics 87: 1487–519.
Bertrand, M. , Karlan, D. , Mullainathan, S. , Shafir, E. and Zinman, J . (2010). What’s Advertising Content Worth? Evidence from a Consumer Credit Marketing Field Experiment. Quarterly Journal of Economics 125(1): 263–306.
Bertrand, M. , Mullainathan, S. and Shafir, E. (2006). Behavioral Economics and Marketing in Aid of Decision Making among the Poor. Journal of Public Policy and Marketing 25: 8–23.
Beverly, S. , Scheider, D. and Tufano, P. (2006). Splitting Tax Refunds and Building Savings: An Empirical Test. In J. M. Poterba (ed.), Tax Policy and the Economy, vol. 20. Cambridge, MA: National Bureau of Economic Research, pp. 111–61.
Bicchieri, C. (2006). The Grammar of Society: The Nature and Dynamics of Social Norms. New York: Cambridge University Press.
Bonaccio, S. and Dalal, R. S. (2006). Advice Taking and Decision-Making: An Integrative Literature Review, and Implications for the Organizational Sciences. Organizational Behavior and Human Decision Processes 101: 127–51.
Brown, J. B. , Kling, J. R. , Mullainathan, S. , Wiens, G. R. and Wrobel, M. V. (2008a). Framing, Reference Points, and Preferences for Life Annuities. The Retirement Security Project, October.
Brown, J. B. , Kling, J. R. , Mullainathan, S. and Wrobel, M. V. (2008b). Why Don’t People Insure Late-Life Consumption? A Framing Explanation of the Under-Annuitization Puzzle. American Economic Review 98: 304–9.
Choi, J. J. , Laibson, D. , Madrian, B. and Metrick, A. (2004). For Better or Worse: Default Effects and 401(K) Savings Behavior. In D. A. Wise (ed.), Perspectives on the Economics of Aging. University of Chicago Press, pp. 81–121.
Cole, S. and Shastry, G. K . (2008). If You Are so Smart, Why Aren’t You Rich? The Effects of Education, Financial Literacy, and Cognitive Ability on Financial Market Participation. Working paper.
Cronqvist, H. and Thaler, R. H . (2004). Design Choices in Privatized Social-Security Systems: Learning from the Swedish Experience. American Economic Review 94: 424–8.
Deelstra, J. T. , Peeters, M. C. W. , Schaufeli, W. B. , Stroebe, W. , Zijlstra, F. R. H. and van Doornen, L. P. (2003). Receiving Instrumental Support at Work: When Help is Not Welcome. Journal of Applied Psychology 88: 324–31.
Dolan, P. , Elliott, A. , Metcalfe, R. and Vlaev, I. (2012). Influencing Financial Behavior: From Changing Minds to Changing Contexts. Journal of Behavioral Finance 13(2): 126–42.
Dolan, P. , Hallsworth, M. , Halpern, D. , King, D. and Vlaev, I. (2010). Mindspace: Influencing Behaviour Through Public Policy. London: Cabinet Office and Institute for Government.
Duflo, E. and Kremer, M. (2005). Use of Randomization in the Evaluation of Development Effectiveness. In O. Feinstein , G. K. Ingram and G. K. Pitman (eds.), Evaluating Development Effectiveness, vol. 7. New Brunswick, NJ: Transaction Publishers, pp. 205–32.
Duflo, E. and Saez, E . (2003). The Role of Information and Social Interactions in Retirement Plan Decisions: Evidence from a Randomized Experiment. Quarterly Journal of Economics 118: 815–42.
Durantini, M. R. , Albarracin, D. , Earl, A. and Mitchell, A. L . (2006). Conceptualizing the Influence of Social Agents of Behavior Change: A Meta-Analysis of the Effectiveness of HIV-Prevention Interventionists for Different Groups. Psychological Bulletin 132: 212–48.
Feinberg, R. A. (1986). Credit Cards as Spending Facilitating Stimuli. Journal of Consumer Research 13: 348–56.
Gino, F. (2008). Do We Listen to Advice Just Because We Paid for It? The Impact of Advice Cost on Its Use. Organizational Behavior and Human Decision Processes 107: 234–45.
Goetzmann, W. N. and Peles, N. (1997). Cognitive Dissonance and Mutual Fund Investors. Journal of Financial Research 20: 145–58.
Goldsmith, D. J. (2000). Soliciting Advice: The Role of Sequential Placement in Mitigating Face Threat. Communications Monographs 67: 1–19.
Goldsmith, D. J. and Fitch, K. (1997). The Normative Context of Advice as Social Support. Human Communication Research 23: 454–76.
Gross, D. B. and Souleles, N. S. (2002). Do Liquidity Constraints and Interest Rates Matter for Consumer Behavior? Evidence from Credit Card Data. Quarterly Journal of Economics 117: 149–85.
Hackethal, A. , Haliassos, M. and Jappelli, T. (2009). Financial Advisors: A Case of Babysitters? CEPR Discussion Papers 7235.
Hossain, T. and Morgan, J . (2006). Plus Shipping and Handling: Revenue (Non) Equivalence in Field Experiments on eBay. Advances in Economic Analysis and Policy 6(2): article 3.
Hung, A. and Yoong, J. (2010). Asking for Help: Survey and Experimental Evidence on Financial Advice and Behavior Change. RAND Working Paper WR-714-1.
Kahneman, D. (2003). A Perspective on Judgment and Choice: Mapping Bounded Rationality. American Psychologist 58: 697–720.
Kahneman, D. and Thaler, R . (2006). Anomalies: Utility Maximisation and Experienced Utility. Journal of Economic Perspectives 20: 221–34.
Kahneman, D. and Tversky, A . (1979). Prospect Theory: An Analysis of Decision under Risk. Econometrica 47: 263–91.
Karlan, D. (2007). Social Connections and Group Banking. Economic Journal 117: F52–F84.
Karlan, D. and Morduch, J. (2010). Access to Finance. In D. Rodrik and M. Rosenzweig (eds.), Handbook of Development Economics, vol. 5. Amsterdam: North-Holland, pp. 4703–84.
Karlan, D. and Zinman, J. (2009). Expanding Microenterprise Credit Access: Using Randomized Supply Decisions to Estimate the Impacts in Manila. Yale University, Dartmouth College, and Innovations in Poverty Action Working Paper.
Karlsson, N. , Loewenstein, G. and Seppi, D. J. (2005). The ‘Ostrich Effect’: Selective Attention to Information about Investments. Unpublished manuscript.
Landry, C. E. , Lange, A. , List, J. A. , Price, M. K. and Rupp, N. G. (2006). Toward an Understanding of the Economics of Charity: Evidence from a Field Experiment. Quarterly Journal of Economics 121: 747–82.
Lusardi, A. (2007). Household Saving Behavior: The Role of Literacy, Information and Financial Education Programs. NBER Working Paper 13824.
Lusardi, A. , Mitchell, O. S. and Curto, V. (2010) Financial Literacy among the Young: Evidence and Implications for Consumer Policy. Dartmouth College Working Paper.
Madrian, B. and Shea, D. F. (2001). The Power of Suggestion: Inertia in 401(k) Participation and Savings Behavior. Quarterly Journal of Economics 116: 1149–87.
Meier, S. and Sprenger, C. (2008). Discounting Financial Literacy: Time Preferences and Participation in Financial Education Programs. Federal Reserve Bank of Boston, Public Policy Discussion Paper No. 07-5.
Miller, D. T. and Ross, M. (1975). Self-Serving Biases in the Attribution of Causality: Fact or Fiction? Psychological Bulletin 82: 213–25.
O’Donoghue, T. and Rabin, M. (1999). Doing It Now or Doing It Later. American Economic Review 89: 103–24.
Prelec, D. and Simester, D. (2001). Credit-Card Effect on Willingness to Pay. Marketing Letters 12: 5–12.
Sheeran, P. (2002). Intention-Behavior Relations: A Conceptual and Empirical Review. In W. Strobe and M. Hewstone (eds.), European Review of Social Psychology, vol. 12. Chichester: Wiley, pp. 1–30.
Stewart, N. (2009). The Cost of Anchoring on Credit Card Minimum Repayments. Psychological Science 20: 39–41.
Thaler, R. H. (1985). Mental Accounting and Consumer Choice. Marketing Science 4: 199–214.
Thaler, R. H. (1999). Mental Accounting Matters. Journal of Behavioral Decision Making 12: 183–206.
Thaler, R. H. and Benartzi, S. (2004). Save More Tomorrow: Using Behavioral Economics to Increase Employee Saving. Journal of Political Economy 112: S164–S187.
Thaler, R. H. and Sunstein, C. R. (2008). Nudge: Improving Decisions about Health, Wealth and Happiness. New Haven: Yale University Press.
Triplett, N. (1898). The Dynamogenic Factors in Pacemaking and Competition. American Journal of Psychology 9: 507–33.
Tversky, A. and Kahneman, D . (1974). Judgment under Uncertainty: Heuristics and Biases. Science 185: 1124–30.
Vlaev, I. and Dolan, P. (2009). From Changing Cognitions to Changing the Context: A Dual-Route Model of Behaviour Change. London: Imperial College Business School.
Waber, R. L. , Shiv, B. , Carmon, Z. and Ariely, D. (2008). Commercial Features of Placebo and Therapeutic Efficacy. Journal of the American Medical Association 299: 1016–17.
Webb, T. L. and Sheeran, P. (2006) Does Changing Behavioral Intentions Engender Behavior Change? A Meta-Analysis of the Experimental Evidence. Psychological Bulletin 132: 249–68.
Yaniv, I. (2004a). The Benefit of Additional Opinions. Current Directions in Psychological Science 13: 75–8.
Yaniv, I. (2004b). Receiving Other People’s Advice: Influence and Benefit. Organizational Behavior and Human Decision Processes 93: 1–13.
Yaniv, I. and Kleinberger, E. (2000). Advice Taking in Decision Making: Egocentric Discounting and Reputation Formation. Organizational Behavior and Human Decision Processes 83(2): 260–81.
Yanovitsky, I. and Bennett, C. (1999). Media Attention, Institutional Response and Health Behaviour Change: The Case of Drunk Driving 1978–1996. Communication Research 26: 429–53.
Zajonc, R. B . (1980). Feelings and Thinking: Preferences Need No Inferences. American Psychologist 35: 151–75.

Reference Title: References

Reference Type: reference-list

Ainslie, G . (1992). Picoeconomics: The Strategic Interaction of Successive Motivational States Within the Person. New York: Cambridge University Press.
Bem, D. (1972). Self-Perception Theory. In L. Berkowitz (ed.), Advances in Experimental Social Psychology. New York: Academic Press, pp. 1–62.
Benabou, R. and Tirole, J. (2004). Willpower and Personal Rules. Journal of Political Economy 112: 848–87.
Bernheim, B. and Thomadsen, R. (2005). Memory and Anticipation. Economic Journal 115: 271–304.
Bodner, R. and Prelec, D. (2003). Self-Signalling and Diagnostic Utility in Everyday Decision-Making. In I. Brocas and J. Carillo (eds.), Psychology of Economic Decisions, vol. 1. Oxford University Press, pp. 105–24.
Cho, I. and Sobel, J. (1990). Strategic Stability and Uniqueness in Signaling Games. Journal of Economic Theory 50: 381–413.
Ginossar, Z. and Trope, Y. (1987). Problem Solving in Judgment under Uncertainty. Journal of Personality and Social Psychology 52: 464–74.
Mijovic-Prelec, D. and Prelec, D . (2010). Self-Deception as Self-Signaling: A Model and Experimental Evidence. Philosophical Transactions of the Royal Society B: Biology 365: 227–40.
Monterosso, J. R. and Ainslie, G. (1999). Beyond Discounting: Possible Experimental Models of Impulse Control. Psychopharmacology (Berl). 146: 339–47.
Prelec, D. and Bodner, R. (2003). Self-Signaling and Self-Control. In G. Loewenstein , D. Read and R. F. Baumeister (eds.), Time and Decision. New York: Russell Sage, pp. 277–98.
Quattrone, G. and Tversky, A. (1984). Causal versus Diagnostic Contingencies: On Self-Deception and on the Voter’s Illusion. Journal of Personality and Social Psychology 46: 237–48.
Sanitioso, R. , Kunda, Z. and Fong, G. T. (1990). Motivated Recruitment of Autobiographical Memory. Journal of Personality and Social Psychology 59: 229–41.
Weber, M. (2002). The Protestant Ethic and the Spirit of Capitalism. Trans. P. Baehr and G. C. Wells . Penguin Books.