People frequently overestimate the impact of an event when they imagine it, relative to when they actually experience it. This phenomenon, known as the impact bias, has been well established as an intrapersonal phenomenon. We extend it to the inherently interpersonal marketing setting involving...

Search theories suggest that a decline in search costs increases search behavior. This relationship has been well supported by prior experimental research but not by studies conducted in retail settings. Our review of the literature suggests that this discrepancy might be driven by the fact that...

We demonstrate that decision making is more heuristic in situations that involve spending time rather than money. Relative to participants in the money condition, those in the time condition show a higher propensity to choose a compromise option (experiment 1), and rely on an arbitrary anchor...