After covering Loss Aversion, in this blog, we will cover Endowment Effect. Thanks for reading Vikas’s Substack! Subscribe for free to receive new posts and support my work. What is Endowment Effect? The endowment effect is a cognitive bias which describes how people tend to value items that they own more highly than they would if they did not belong to them. This means that sellers often try to charge more for an item than it would cost elsewhere.1
ENDOWMENT EFFECT
ENDOWMENT EFFECT
ENDOWMENT EFFECT
After covering Loss Aversion, in this blog, we will cover Endowment Effect. Thanks for reading Vikas’s Substack! Subscribe for free to receive new posts and support my work. What is Endowment Effect? The endowment effect is a cognitive bias which describes how people tend to value items that they own more highly than they would if they did not belong to them. This means that sellers often try to charge more for an item than it would cost elsewhere.1