When More Is More

摘要

Every day humans face choices, whether shopping for coffee beans or voting for a representative. Economists usually assume that we are rational agents who consistently choose options with the greatest utility. Yet, there are numerous departures from rational choice. People often justify continued investment in an unprofitable option because they have already invested in it (7), or switch their preference for one of two products when a third, less attractive one is introduced (2). Similarly, people may prefer an option based on past experience rather than its physical properties (3).