This extensive note synthesizes current psychological and neuroscientific research on how people make decisions with moral implications. Research summaries and scenarios illustrate critical issues. Learning Objective: Introduce students to the connections (and contradictions) between classical...

In 5 studies, the authors examined people's perceptions of the endowment effect, or the tendency to value an object more once one owns it. In the 1st 2 studies, the authors documented egocentric empathy gaps between owners and buyers regarding the endowment effect: Both owners and buyers...

Hypothetical bias is the common finding that hypothetical monetary values for “goods” are higher than real values. We extend this research to the domain of “bads” such as consumer and household choices made to avoid aversive outcomes (e.g., insurance). Previous evidence of hot-cold...

I study the interaction among altruistic agents whose degree of concern for others depends on their behavior: the more socially-minded they behave, the greater the concern. Moreover, agents are aware of this mutual effect and take it into consideration in determining their own behavior. I...

We investigate the influence of ethical feedback on decision-makers' behavior, focusing on the role of emotions in mediating this relationship. We examine how emotions generated by ethical feedback impact subsequent decisions in a laboratory setting with incentivized tasks. We distinguish...