
Which of the following demonstrates the endowment effect?
A) Whelan inherits a cottage in Cape Breton from his grandfather and is unwilling to sell it for sentimental reasons.
B) Benedict Cumberbatch commands a premium in the movie industry because he is endowed with dashing looks.
C) Isabella was not willing to part with her "Benedict Cumberbatch" poster although she was offered $100 for it, a sum greater than what it costs to purchase another such poster.
D) If you received a good as a gift, you are less likely to attach a monetary value to the good.
Correct Answer:
Verified
Q101: Professor Parallax chooses two students in his
Q101: Many celebrities are paid to endorse products,but
Q103: The average price of gasoline in your
Q104: If you exhibit the endowment effect as
Q107: The pair of handmade green leather Italian
Q198: List three reasons why demand for a
Q202: Which of the following is not a
Q209: Which of the following is a common
Q210: Consider the following hypothetical scenarios:
Scenario A: You
Q220: Psychologists Daniel Kahneman and Amos Tversky conducted
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents