Asymmetric dominance, deferral and status quo bias in a behavioral model of choice

Georgios Gerasimou

doi:10.1007/s11238-015-9499-7

Asymmetric dominance, deferral and status quo bias in a behavioral model of choice

Georgios Gerasimou

Research output: Contribution to journal › Article › peer-review

19 Citations (Scopus)

3 Downloads (Pure)

Abstract

This paper proposes and axiomatically characterizes a model of choice that builds on the criterion of partial dominance and allows for two types of avoidant behavior: *choice deferral* and *status quo bias*. These phenomena are explained in a unified way that allows for a clear theoretical distinction between them to be made. The model also explains the *strengthening of the attraction effect* that has been observed when deferral is permissible. Unlike other models of status quo biased behavior, the one analyzed in this paper builds on a *unique*, reference-independent preference relation that is acyclic and generally incomplete. When this relation is complete, the model reduces to rational choice.

Original language	English
Pages (from-to)	295-312
Journal	Theory and Decision
Volume	80
Issue number	2
Early online date	29 May 2015
DOIs	https://doi.org/10.1007/s11238-015-9499-7
Publication status	Published - Feb 2016

Keywords

Partial dominance
Incomplete preferences
Choice deferral
Status quo bias
Attraction effect

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10.1007/s11238-015-9499-7

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© 2015, Springer Science+Business Media New York. This work is made available online in accordance with the publisher’s policies. This is the author created, accepted version manuscript following peer review and may differ slightly from the final published version. The final published version of this work is available at DOI: 10.1007/s11238-015-9499-7
Accepted author manuscript, 421 KB

Cite this

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Asymmetric dominance, deferral and status quo bias in a behavioral model of choice

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Keywords

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