Credit cards are one of the most common forms of credit offered to consumers and one in which information is highly standardized through mandated disclosures. Three experiments examine the effects of affect inductions (mild positive or anxious affect) on the use of credit card disclosure...

In this paper, we disentangle investor sentiment into two components: mood and household attitudes towards the economy. We apply acoustical analysis to the daily top ten of music downloads in iTunes for Germany to derive a novel and direct measure for mood. We match this novel mood index with...

Innovations in financial technology have expanded individuals' access to unsecured personal loans. Building on insights from consumer behavior research that link negative emotions to credit-financed consumption, we show that transitory emotion influences households' use of online loans....

We consider the relationship between the emotional state of traders and market prices. We create asset markets with the structure first studied by Smith, Suchanek and Williams (1988), which is known to generate price bubbles and crashes. We analyze participants' facial expressions with...

Carbon pricing is believed to be one of the most effective ways to curb carbon emissions. However, societal acceptance of carbon pricing has been lukewarm, as it imposes fees on consumers. This study investigated the role of combining emotional responses in gain/loss framing with visual imagery...

Purpose – This study examined how service providers effectively respond to consumer complaints in an online shopping environment by applying the fairness theory including distributive, procedural, and interactional fairness.Design/Methodology/Approach – Empirical research was conducted using...

Using data from the Business Surveys Unit of the European Commission as a long-running-continental-scale experiment, this paper examines how, and how accurately, people assess economic systems. Data show both commonsense (e.g. people know the past better than the future) and puzzling results...

Traditionally, information has been assumed to never harm consumers, a notion recently challenged. Salience nudges have been argued to evoke negative emotions, therefore acting as “emotional taxes.” We analyze the emotional and short-term consumer welfare impact of a calorie salience nudge...

This paper utilizes a high frequency dataset on taxi rides in New York City to investigate how emotions due to sporting event outcomes affect passengers' tipping behavior. I formulate and empirically test a reference-dependent preferences framework of tipping behavior. The results indicate that...