Dowling, Katharina; Stich, Lucas; Spann, Martin - In: Review of Managerial Science 15 (2020) 8, pp. 2275-2297
identified overconfidence as one of the key drivers. Yet, prior research is non-experimental and focused on the so-called flat …-rate bias. By contrast, we examine the effects of overconfidence on the choice between a pay-per-use and a flat-rate option … using an experimental approach. We develop an incentive-compatible experiment to provide causal evidence for the effect of …