TY - GEN
T1 - Effects of price of zero on decision making
T2 - International Conference on Cross Cultural Decision Making, CCDM 2016
AU - Murata, Atsuo
AU - Matsushita, Yasunari
AU - Moriwaka, Makoto
N1 - Publisher Copyright:
© Springer International Publishing Switzerland 2017.
PY - 2017
Y1 - 2017
N2 - When (a − 1)X = Z, the zero-price effect was observed only for (a: large, X: small) and (a: small, X: small). When X was small, the zero-price effect was observed irrespective of the value of a. When X was large, the zero-price effect was not observed. Human behavior tend to deviate from irrational behavior assumed in traditional economics for small values of X irrespective of a. The price of zero must be irrationally chosen due to the overestimation of price of zero. When (a − 1)X > Z, the zero-price effect was observed only for (a: large, X: large) and (a: large, X: small). When a was large, the zero-price effect was observed irrespective of whether X was large or small. When a was small, the zero-price effect was not observed. Human behavior tend to deviate from irrational behavior assumed in traditional economics for large values of a irrespective of the value of a. In this manner, it has been indicated that the zero-price effect is not necessarily observable and holds under limited conditions.
AB - When (a − 1)X = Z, the zero-price effect was observed only for (a: large, X: small) and (a: small, X: small). When X was small, the zero-price effect was observed irrespective of the value of a. When X was large, the zero-price effect was not observed. Human behavior tend to deviate from irrational behavior assumed in traditional economics for small values of X irrespective of a. The price of zero must be irrationally chosen due to the overestimation of price of zero. When (a − 1)X > Z, the zero-price effect was observed only for (a: large, X: large) and (a: large, X: small). When a was large, the zero-price effect was observed irrespective of whether X was large or small. When a was small, the zero-price effect was not observed. Human behavior tend to deviate from irrational behavior assumed in traditional economics for large values of a irrespective of the value of a. In this manner, it has been indicated that the zero-price effect is not necessarily observable and holds under limited conditions.
KW - Cognitive bias
KW - Decision making
KW - Irrational behavior
KW - Price of zero
UR - https://www.scopus.com/pages/publications/84986218217
UR - https://www.scopus.com/pages/publications/84986218217#tab=citedBy
U2 - 10.1007/978-3-319-41636-6_9
DO - 10.1007/978-3-319-41636-6_9
M3 - Conference contribution
AN - SCOPUS:84986218217
SN - 9783319416359
T3 - Advances in Intelligent Systems and Computing
SP - 109
EP - 116
BT - Advances in Cross-Cultural Decision Making - Proceedings of the AHFE International Conference on Cross-Cultural Decision Making, CCDM 2016
A2 - Hoffman, Mark
A2 - Schatz, Sae
PB - Springer Verlag
Y2 - 27 July 2016 through 31 July 2016
ER -