Weekly Journal – Endowment Efect

Follow the instructions below to complete your journal entry for this week:

The theory of endowment effect says that people place a higher value on objects they own than on objects that they do not own. Briefly describe a time when you experienced this endowment effect (selling your car, pricing items at a garage sale, etc.)

Learning Resources

Please read and view (where applicable) the following Learning Resources before you complete this week’s assignments.

Media:

• Video: TED. (Producer). (2005). Barry Schwartz on the paradox of choice [Video]. Retrieved from httpss://www.ted.com/talks/barry_schwartz_on_the_paradox_of_choice.html
  In this TED (Technology, Entertainment, and Design) video clip, Barry Schwartz presents information about maximisers and satisficers.

Readings

• Course Text: Rational Choice in an Uncertain World
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  • Chapter 11, “A Rational Decision Theory”
  • Chapter 12, “A Descriptive Decision Theory”
    
• Article: Parker, A. M., deBruin, N. B., & Fischoff, B. (2007). Maximizers verses Satisficers: Decision-making styles, competence, and outcomes. Judgment and Decision Making, 2(6), 342–350. Use Psych Info Database, and search using the article’s title.

Websites

• Deal or No Deal. (n.d.). MoFunZone. Retrieved September 15, 2010 fromhttpss://www.mofunzone.com/online_games/deal_or_no_deal.shtml#
  This interactive game provides you with the opportunity to play a game based on Deal or No Deal.