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Choice architecture

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Choice architecture is the design of different ways in which choices can be presented to decision makers, and the impact of that presentation on decision-making. For example, each of the following:

  • the number of choices presented[1]
  • the manner in which attributes are described[2]
  • the presence of a "default"[3][4]

can influence consumer choice. As a result, advocates of libertarian paternalism and asymmetric paternalism have endorsed the deliberate design of choice architecture to nudge consumers toward personally and socially desirable behaviors like saving for retirement, choosing healthier foods, or registering as an organ donor. These interventions are often justified by advocates of libertarian paternalism in that well-designed choice architectures can compensate for irrational decision-making biases to improve consumer welfare.[5] These techniques have consequently become popular among policymakers, leading to the formation of the UK's Behavioural Insights Team and the White House "Nudge Unit" for example.[6] While many behavioral scientists stress that there is no neutral choice-architecture and that consumers maintain autonomy and freedom of choice despite manipulations of choice architecture,[7] critics of libertarian paternalism often argue that choice architectures designed to overcome irrational decision biases may impose costs on rational agents, for example by limiting choice[8] or undermining respect for individual human agency and moral autonomy.[9] Moreover, it can result in dark patterns because of the Principal–agent problem.

  1. ^ Scheibehenne, Benjamin; Greifeneder, Rainer; Todd, Peter (2010). "Can there ever be too many options? A meta-analytic review of choice overload" (PDF). Journal of Consumer Research. 37 (3): 409–25. doi:10.1086/651235. JSTOR 10.1086/651235. S2CID 5802575.
  2. ^ Larrick, R.P.; Soll, J.B (2008). "The MPG Illusion". Science. 320 (5883): 1593–4. doi:10.1126/science.1154983. PMID 18566271. S2CID 206511466.
  3. ^ Johnson, E.J.; Goldstein, D.G. (2003). "Do Defaults Save Lives?" (PDF). Science. 302 (5649): 1338–1339. doi:10.1126/science.1091721. PMID 14631022. S2CID 166476782. Archived from the original (PDF) on 2020-01-10.
  4. ^ Cronqvist, H; Thaler, R (2004). "Design choices in privatized social security systems: Learning from the Swedish experience". American Economic Review. 94 (2): 424–8. doi:10.1257/0002828041301632. S2CID 14415952.
  5. ^ Thaler, Richard H.; Sunstein, Cass R.; Balz, John P. (2013). Shafir, Eldar (ed.). The Behavioral Foundations of Public Policy. Princeton, New Jersey: Princeton University Press. pp. 428–39.
  6. ^ Nesterak, Evan. "Head of White House "Nudge Unit" Maya Shankar Speaks about Newly Formed Social and Behavioral Sciences Team". thepsychreport. Archived from the original on 16 November 2018. Retrieved 13 December 2014.
  7. ^ Johnson, Eric J.; Shu, S.B.; Dellaert, B.G.C.; Fox, C.; Goldstein, D.G.; Haeubl, G.; Larrick, R.P.; Payne, J.W.; Schkade, D.; Wansink, B.; Weber, E.U. (2012). "Beyond Nudges: Tools of a choice architecture". Marketing Letters. 23 (2): 487–504. doi:10.1007/s11002-012-9186-1. S2CID 839902.
  8. ^ Mitchell, Gregory (2005). "Libertarian Paternalism is an Oxymoron". Northwestern University Law Review. 99.
  9. ^ Goodwin, Morag (2016). Kemmerer, Alexandra; et al. (eds.). Choice Architecture in Democracies: Exploring the Legitimacy of Nudging. Baden-Baden / Oxford: Nomos / Hart Publishing. pp. 285–307. {{cite book}}: |work= ignored (help)

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