Status Quo Bias: Shaping Consumer Choices, Bond Markets, and Organ Donation
The status quo bias makes people stick with the default option, even if changing would be better. It affects choices in different areas like consumer behavior, bond markets, and organ donation policies. Companies can understand consumers better by knowing about this bias. People tend to underestimate interest rate changes in bond markets because of this bias. Governments can use this bias to create better policies for organ donation.