We present a theory of context-dependent risk preferences under which within-state payoff comparisons and regret aversion shape decisions. Defining the attraction and compromise effect in reference to a state-space-based description of the choice problem, we show that our theory can account for...

We present a theory of context-dependent risk preferences under which within-state payoff comparisons and regret aversion shape decisions. Defining the attraction and compromise effect in reference to a state-space-based description of the choice problem, we show that our theory can account for...

Psychological state alterations induced by substance-related physiological mechanisms affect consumer decision-making. We examine the influence of caffeine—the world's most popular psychostimulant—on the attraction effect. In three double-blinded experiments, we show that caffeine intake via...

Research on context effects shows that the composition of choice sets and choice framing strongly influences consumer decision-making. Researchers have identified various context effect types and provide insight into their antecedents, consequences, and mechanisms of action. However, the...

Psychological state alterations induced by substance-related physiological mechanisms affect consumer decision-making. We examine the influence of caffeine—the world’s most popular psychostimulant—on the attraction effect. In three double-blinded experiments, we show that caffeine intake...

Research on context effects shows that the composition of choice sets and choice framing strongly influences consumer decision-making. Researchers have identified various context effect types and provide insight into their antecedents, consequences, and mechanisms of action. However, the...