Sunk Cost Bias and Time Inconsistency: A Strategic Analysis of Pricing Decisions
References
- (2002) Health insurance, moral hazard, and managed care. J. Econom. Management Strategy 11(1):81–107.Crossref, Google Scholar
- (2018) Reference-dependent utility, product variety, and price competition. Management Sci. 64(9):4302–4316.Link, Google Scholar
- (2005) Pricing of conspicuous goods: A competitive analysis of social effects. J. Marketing Res. 42(1):30–42.Crossref, Google Scholar
- (1985) The psychology of sunk cost. Organ. Behav. Human Decision Processes 35(1):124–140.Crossref, Google Scholar
- Augenblick N, Niederle M, Sprenger C (2015) Working over time: Dynamic inconsistency in real effort tasks. Quart. J. Econom. 130(3):1067–1115.Google Scholar
- (2005) Log-concave probability and its applications. Econom. Theory 26(2):445–469.Crossref, Google Scholar
- (2011) Mnemonomics: The sunk cost fallacy as a memory kludge. Amer. Econom. J. Microeconomics 3(4):35–67.Crossref, Google Scholar
- (2004) Willpower and personal rules. J. Political Econom. 112(4):848–886.Crossref, Google Scholar
- (2010) Present-bias, quasi-hyperbolic discounting, and fixed costs. Games Econom. Behav. 69(2):205–223.Crossref, Google Scholar
- (2013) Context-dependent preferences and innovation strategy. Management Sci. 59(12):2747–2765.Link, Google Scholar
- (2010) Limited memory, categorization, and competition. Marketing Sci. 29(4):650–670.Link, Google Scholar
- (2007) Fairness and channel coordination. Management Sci. 53(8):1303–1314.Link, Google Scholar
- (2004) Contract design and self-control: Theory and evidence. Quart. J. Econom. 119(2):353–402.Crossref, Google Scholar
- (1998) The impact of membership fees on consumer attitude and choice. Psych. Marketing 15(1):41–58.Crossref, Google Scholar
- (2006) Contracting with diversely naive agents. Rev. Econom. Stud. 73(3):689–714.Crossref, Google Scholar
- (1998) Payment depreciation: The behavioral effects of temporally separating payments from consumption. J. Consumer Res. 25(2):160–174.Crossref, Google Scholar
- (2001) Is addiction “rational”? Theory and evidence. Quart. J. Econom. 116(4):1261–1303.Crossref, Google Scholar
- (2015) Inequity aversion and fair selling. J. Marketing Res. 52(1):77–89.Crossref, Google Scholar
- (2017) Introduction to Mediation, Moderation, and Conditional Process Analysis: A Regression-Based Approach (Guilford Publications, New York).Google Scholar
- (2008) Competition and price variation when consumers are loss averse. Amer. Econom. Rev. 98(4):1245–1268.Crossref, Google Scholar
- (2010) Exploiting naïvete about self-control in the credit market. Amer. Econom. Rev. 100(5):2279–2303.Crossref, Google Scholar
- (2008) Designing pricing contracts for boundedly rational customers: Does the framing of the fixed fee matter? Management Sci. 54(4):686–700.Link, Google Scholar
- (2018) Sunk cost fallacy in driving the world’s costliest cars. Management Sci. 64(4):1761–1778.Link, Google Scholar
- (2019) Sunk cost as a self-management device. Management Sci. 65(5):2216–2230.Abstract, Google Scholar
- (2018) Voluntary product safety certification. Management Sci. 64(2):695–714.Link, Google Scholar
- (2012) Marketing of vice goods: A strategic analysis of the package size decision. Marketing Sci. 31(1):36–51.Link, Google Scholar
- (2019) Time inconsistency and product design: A strategic analysis of feature creep. Marketing Sci. 38(5):835–851.Link, Google Scholar
- (2018) Pricing and product design for vice goods: A strategic analysis. Marketing Sci. 37(4):592–610.Link, Google Scholar
- (2011) Thinking, Fast and Slow. (Farrar, Straus and Giroux, New York).Google Scholar
- (1997) Golden eggs and hyperbolic discounting. Quart. J. Econom. 112(2):443–478.Crossref, Google Scholar
- (1997) The magnitude of menu costs: Direct evidence from large US supermarket chains. Quart. J. Econom. 112(3):791–824.Crossref, Google Scholar
- (2011) Price points and price rigidity. Rev. Econom. Statist. 93(4):1417–1431.Crossref, Google Scholar
- (2010) Social loss aversion and optimal contest design. J. Marketing Res. 47(4):777–787.Crossref, Google Scholar
- (1989) Warranties as signals under consumer moral hazard. RAND J. Econom. 20(2):239–255.Crossref, Google Scholar
- (2007) Smoking cessation: A model of planned vs. actual behavior for time-inconsistent consumers. Marketing Sci. 26(6):834–850.Link, Google Scholar
- (1986) Price and advertising signals of product quality. J. Political Econom. 94(4):796–821.Crossref, Google Scholar
- (1987) Experts, amateurs, and real estate: An anchoring-and-adjustment perspective on property pricing decisions. Organ. Behav. Human Decision Processes 39(1):84–97.Crossref, Google Scholar
- (1994) The Nature of Rationality (Princeton University Press, Princeton, NJ).Crossref, Google Scholar
- (1999) Incentives for procrastinators. Quart. J. Econom. 114(3):769–816.Crossref, Google Scholar
- (2001) Choice and procrastination. Quart. J. Econom. 116(1):121–160.Crossref, Google Scholar
- (2009) Optimal product line design when consumers exhibit choice set-dependent preferences. Marketing Sci. 28(5):868–886.Link, Google Scholar
- (2018) Marketing self-improvement programs for self-signaling consumers. Marketing Sci. 37(6):912–929.Link, Google Scholar
- (2005) Placebo effects of marketing actions: Consumers may get what they pay for. J. Marketing Res. 42(4):383–393.Crossref, Google Scholar
- (1976) Knee-deep in the big muddy: A study of escalating commitment to a chosen course of action. Organ. Behav. Human Performance 16(1):27–44.Crossref, Google Scholar
- (1980) Toward a positive theory of consumer choice. J. Econom. Behav. Organ. 1(1):39–60.Crossref, Google Scholar
- (1985) Mental accounting and consumer choice. Marketing Sci. 4(3):199–214.Link, Google Scholar
- (1999) Mental accounting matters. J. Behav. Decision Making 12(3):183–206.Crossref, Google Scholar
- (1974) Judgment under uncertainty: Heuristics and biases. Sci. 185(4157):1124–1131.Crossref, Google Scholar
- (2020) Making the wait worthwhile: Experiments on the effect of queueing on consumption. Management Sci. 66(3):1149–1171.Link, Google Scholar
- (2002) The sunk costs fallacy or argument from waste. Argumentation 16(4):473–503.Crossref, Google Scholar
- (1993) Escalating commitment in individual and group decision making: A prospect theory approach. Organ. Behav. Human Decision Processes 54(3):430–455.Crossref, Google Scholar
- (2015) Impact of time-inconsistency and other-regarding preference on price contract and organization design. Unpublished doctoral dissertation, National University of Singapore.Google Scholar
- (2019) Paying enough to go to the gym: Sunk cost fallacy, self-control, and price contract design. Working paper, Chinese University of Hong Kong.Google Scholar

