People's tendency to prefer the default option over other options is known in prospect theory asA) the anchoring effect.B) the mental accounting effect.C) status quo bias.D) confirmation bias.

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Jessica Ezell · Accepted Answer

Final Answer : C, Explanation :  Status quo bias is the concept in behavioral economics and decision theory where people tend to prefer the default option or the current state of affairs over a change. This bias explains why individuals are more likely to stick with what they know or what is already selected for them (the default option) rather than opting for a change, even if the alternative may be better.

People's tendency to prefer the "default" option over other options is known in prospect theory as

A) the anchoring effect.
B) the mental accounting effect.
C) status quo bias.
D) confirmation bias.

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Related questions

People's tendency to prefer the "default" option over other options is known in prospect theory asA) the anchoring effect.B) the mental accounting effect.C) status quo bias.D) confirmation bias.

Definitions

Learning Objectives

Learning Objectives

Related questions

People's tendency to prefer the "default" option over other options is known in prospect theory as

A) the anchoring effect.
B) the mental accounting effect.
C) status quo bias.
D) confirmation bias.