Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/197126
Authors: 
Buturak, Gökhan
Evren, Özgür
Year of Publication: 
2017
Citation: 
[Journal:] Theoretical Economics [ISSN:] 1555-7561 [Volume:] 12 [Year:] 2017 [Issue:] 3 [Pages:] 1029-1056
Abstract: 
We propose a model of 'choice overload,' which refers to a stronger tendency to select the default option in larger choice problems. Our main finding is a behavioral characterization of an asymmetric regret representation that depicts a decision maker who does not consider the possibility of experiencing regret for choosing the default option. By contrast, the value of ordinary alternatives is subject to regret. The calculus of regret for ordinary alternatives is identical to that in Sarver's (2008) anticipated regret model, despite the fact that the primitives of the two theories are different. Our model can also be applied to choice problems with the option to defer the decision.
Subjects: 
Choice overload
anticipated regret
subjective states
choice deferral
JEL: 
D11
D81
Persistent Identifier of the first edition: 
Creative Commons License: 
https://creativecommons.org/licenses/by-nc/4.0/
Document Type: 
Article

Files in This Item:
File
Size
311.33 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.