Unformatted text preview: e.g. A study asks what the population of Turkey is in two di ↵ erent ways. In the Frst, the information that the population of Norway is about 5 million is given together with the question. In the second, the information that the population of California is 38 million is given together with the question. The information given regarding the population of Norway or California in±uences test subjects to guess a number which is closer to the given Fgure. e.g. A study asks test subjects to decide if, when buying either a $70 watch or a $800 laptop, they would go 2 blocks to Fnd the identical watch for $40 or the identical laptop for $770. Most test subjects would go the two blocks to save $30 on the watch but wouldn’t go two blocks to save $30 on the laptop. The valuation of the $30 is anchored to the price of the good they are buying. 4...
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- Fall '07
- Cognitive Bias, SAVE, pn, Test Subjects