Repayment decisions—how much of the loan to repay and when to make the payments—directly influence consumer debt levels. The authors examine how minimum required payment policy and loan information disclosed to consumers influence repayment decisions. They find that though presenting minimum...

In this article, we presented evidence that people are more risk averse when investing in financial products in the real world than when they make risky choices between gambles in laboratory experiments. In order to provide an account for this discrepancy, we conducted experiments, which showed...

Attention utility is the hedonic pleasure or pain derived purely from paying attention to information. Using data on brokerage account logins by individual investors, we show that individuals devote disproportionate attention to already-known positive information about the performance of...

Using transaction data from a sample of 1.8 million credit card accounts, we provide the first field test of a major prediction of Prelec and Loewenstein’s (1998) theory of mental accounting. The prediction is that consumers will pay off expenditure on transient forms of consumption more...

We study the allocation of attention to investment accounts among a large sample of individual investors. Investors login to view their accounts on average ten times more frequently than they trade, implying that login behavior is not primarily driven by trading activity. More diversified...

We provide the first evidence of causal peer effects in police misconduct using data from about 50,000 officers and staff from London’s Metropolitan Police Service for the period 2011-2014. Previous research is limited to short-term or cross-sectional studies, which prevents inference about...

We estimate causal peer effects in police misconduct using data from about 35,000 officers and staff from London’s Metropolitan Police Service for the period 2011–2014. We use instrumental variable techniques and exploit the variation in peer misconduct that results when officers switch peer...