Rational choice with status quo bias
نویسندگان
چکیده
Motivated by the empirical findings concerning the importance of one’s current situation on her choice behavior, the main objective of this paper is to propose a rational choice theory that allows for the presence of a status quo bias, and that incorporates the standard choice theory as a special case. We follow a revealed preference approach, and obtain two nested models of rational choice that allow phenomena like the status quo bias and the endowment effect, and that are applicable in any choice situation to which the standard (static) choice model applies. © 2004 Published by Elsevier Inc. JEL classification: D11; D81
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ورودعنوان ژورنال:
- J. Economic Theory
دوره 121 شماره
صفحات -
تاریخ انتشار 2005