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Data on the selections of health plans and retirement programs by faculty members reveal that the status quo bias is substantial in important real decisions They found that framing an option as the status quo resulted in a higher choice rate of that option, compared with f. Economics, psychology, and decision theory provide possible explanations for this bias.
Abstract most real decisions, unlike those of economics texts, have a status quo alternative—that is, doing nothing or maintaining one's current or previous decision Zeckhauser (1988) surveyed participants with hypothetical decision questions Status quo bias in decision making publication information
William samuelson and richard zeckhauser
“status quo bias in decision making” Journal of risk and uncertainty, 1, 1, pp To answer these questions, the present article considers what behavioral economics is, and where it started, with the aim of trying to forecast what the status of it will be in the future. Experiments reveal that individuals consistently exhibit status quo bias across various decision contexts, such as health plans and retirement funds.
Under status quo framing, one of the choice alternatives was placed in the status quo position and the others became alternatives to the status quo In some of the experiments, the status quo condition was manipulated by the experimenters. Data on the selections of health plans and retirement programs by faculty members reveal that the status quo bias is substantial in important real decisions. The paper is organized tains a discussion and analysis of the controlled status quo bias in two field studies
One study examines surance plans by harvard employees.
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