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False Consensus in Economic Agents

Author

Listed:
  • Proto, Eugenio; Sgroi, Daniel

    (University of Warwick)

Abstract

In an incentivized experiment we identify a powerful and ubiquitous bias: individuals regard their own characteristics and choices as more common than is the case. We establish this \false consensus" bias in terms of happiness, political stance, mobile phone brand and on the attitude to deference in a hypothetical restaurant choice, and show that it is not limited to the distribution of hard to observe characteristics and choices but also to weight and height. We also show that the bias is not driven by the fact that the tallest, happiest, most left/right-wing, etc. are more salient.

Suggested Citation

  • Proto, Eugenio; Sgroi, Daniel, 2011. "False Consensus in Economic Agents," CAGE Online Working Paper Series 55, Competitive Advantage in the Global Economy (CAGE).
    • Handle: RePEc:cge:wacage:55
    as

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    File URL: http://www2.warwick.ac.uk/fac/soc/economics/research/centres/cage/manage/publications/55.2011_proto.pdf
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. On false consensus
      by chris dillow in Stumbling and Mumbling on 2014-10-28 19:11:06

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    More about this item

    Keywords

    false consensus; saliency; biased beliefs; happiness; politics; height; weight.;
    All these keywords.

    JEL classification:

    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • C83 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Survey Methods; Sampling Methods
    • D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations

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