Research on the framing effect shows that people tend to overestimate the likelihood of very small probabilities, which makes lotteries seem more attractive than they really are.

Question

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This is a well-established finding in the research on the framing effect, which refers to the way in which information is presented (framed) to influence decision-making. Lotteries are often framed in a way that emphasizes the small probability of winning big, which can make them seem more appealing than they really are in terms of expected value.

Research on the Framing Effect Shows That People Tend to Overestimate