The present research examined whether price trend misperceptions can be explained by the differential perception of increasing versus decreasing prices. We expected price increases (losses to consumers) to be perceived as being more intense than price decreases (gains to consumers) of the same...

In hindsight, people tend to overestimate what they had known in foresight. Two experiments tested whether this bias is due or at least moderated by the self-presentation motive. In Experiment 1, 165 participants received seven problem cases with two possible outcomes and supporting arguments...