Over the past decade, an increasing number of firms have delegated pricing decisions to algorithms in consumer markets such as travel, entertainment, and retail; business markets such as digital advertising; and platform markets such as ride-sharing. This trend, driven primarily by the increased...

Consumers' budgets are influenced by the temporal frame used for the budget period. Budgets planned for the next month are much lower than recorded expenses, while those for the next year are closer to recorded expenses (study 1). The difficulty of estimating budgets for the next year imparts...

In four studies, we show that consumers' savings can be increased or decreased merely by changing the way consumers think about their saving goals. Consumers can (a) either specify or not specify an exact amount to save (goal specificity), and (b) they can focus on either how to save, or why to...

People differ in their beliefs about how and why the financial well-being of individuals changes over time. We find that these lay theories can be reliably described along three independent dimensions, respectively capturing the extent to which changes in financial well-being are perceived to...