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New Yorkers Commute More Everywhere: Contrast Effects in the Field

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  • Uri Simonsohn

    (The Wharton School of the University of Pennsylvania)

Abstract

Previous experimental research has shown that people's decisions can be influenced by options they have encountered in the past. This paper uses PSID data to study this phenomenon in the field, by observing how long people commute after moving between cities. It is found, as predicted, that (i) people choose longer commutes in a city they have just moved to, the longer the average commute was in the city they came from, and (ii) when they move again within the new city, they revise their commute length, countering the effect their origin city had on their initial decision. © 2006 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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Bibliographic Info

Article provided by MIT Press in its journal Review of Economics and Statistics.

Volume (Year): 88 (2006)
Issue (Month): 1 (February)
Pages: 1-9

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Handle: RePEc:tpr:restat:v:88:y:2006:i:1:p:1-9

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Cited by:
  1. Eva Gutierrez Puigarnau & Jos N. van Ommeren (VU), 2013. "Do rich households live farther away from their workplaces?," CPB Discussion Paper, CPB Netherlands Bureau for Economic Policy Analysis 244, CPB Netherlands Bureau for Economic Policy Analysis.
  2. Bruno S. Frey & Alois Stutzer, 2004. "Economic Consequences of Mispredicting Utility," CREMA Working Paper Series, Center for Research in Economics, Management and the Arts (CREMA) 2005-04, Center for Research in Economics, Management and the Arts (CREMA).
  3. Ludo Peeters, 2006. "Job Opportunities, Amenities, and Variable Distance-Deterrence Elasticities: An Empirical Model of Inter-Municipal Migration in Belgium," ERSA conference papers, European Regional Science Association ersa06p585, European Regional Science Association.
  4. Simonsohn, Uri & Karlsson, Niklas & Loewenstein, George & Ariely, Dan, 2008. "The tree of experience in the forest of information: Overweighing experienced relative to observed information," Games and Economic Behavior, Elsevier, Elsevier, vol. 62(1), pages 263-286, January.

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