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- W3180127617 abstract "A robust phenomenon in intertemporal decisions—the magnitude effect—shows that people value future gains less than equivalent but immediate gains by a factor known as the discount rate (i.e., people want a premium for waiting to receive a reward). However, the psychological underpinnings of this effect are not yet fully understood. One explanation proposes that intertemporal choices are driven by comparisons of features of the present and future choice options (e.g., information on rewards). According to this explanation, the hypothesis is that the magnitude effect is stronger when the absolute difference between present and future rewards is emphasized, compared to when their relative difference is emphasized. However, this hypothesis has only been tested using one task (the two-choice paradigm) and only for gains (i.e., not losses). It’s therefore unclear whether the findings that support the hypothesis can be generalized to different methodological paradigms (e.g., preference matching) and to the domain of losses. To address this question, we conducted experiments using the preference-matching method whereby the premium amounts that people could ask for were framed in terms of either currencies (emphasizing absolute differences) or percentages (emphasizing relative differences). We thus tested the robustness of the evidence in support of the hypothesis that percent framing, relative to currency framing, attenuates the magnitude effect in the domain of gains (Studies 1, 2, and 3) and in the domain of losses (Study 1, 3, and 4). Study 5 ruled out floor effects as an alternative explanation for the results in the losses domain. Overall, the results support the hypothesis." @default.
- W3180127617 created "2021-07-19" @default.
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- W3180127617 date "2021-08-01" @default.
- W3180127617 modified "2023-09-25" @default.
- W3180127617 title "Percent framing attenuates the magnitude effect in a preference-matching task of intertemporal choice" @default.
- W3180127617 doi "https://doi.org/10.31234/osf.io/9mqtb" @default.
- W3180127617 hasPublicationYear "2021" @default.
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