According to a behavioral economist, people who are unwilling to sell the last pound of rice they purchased for the same price that they paid for it are displaying
A) the endowment effect.
B) bounded rationality.
C) bounded self-interest.
D) bounded will power.

Question

Quizplus · Accepted Answer

The endowment effect refers to the phenomenon where people ascribe more value to things merely because they own them, leading them to demand a higher price to sell an item than they would be willing to pay to buy it.

According to a Behavioral Economist, People Who Are Unwilling to Sell