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IS STATUS QUO BIAS CONSISTENT WITH DOWNWARD‐SLOPING DEMAND? |
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| Authors: | DONALD WITTMAN |
| Institution: | Wittman:;Professor of Economics, Department of Economics, University of California, Santa Cruz, CA 95064. Phone 1-831-459-4445, E-mail |
| Abstract: | We show that status quo bias combined with downward-sloping demand implies addictive behavior. This result does not depend on transitivity, a complete ordering, or even the existence of a preference relation that rationalizes choices. ( JEL D11, D81) |
| Keywords: | |