The tendency for individuals to assign higher values to goods when they own the goods than when they do not possess the goods is known as the:
A. substitution effect.
B. endowment effect.
C. income effect.
D. anchoring effect.
Answer:B
The tendency for individuals to assign higher values to goods when they own the goods than when they do not possess the goods is known as the:
A. substitution effect. B. endowment effect. C. income effect. D. anchoring effect.